Nestlé is investing CHF 563 million into a new Nescafé factory in Thailand – purpose-built to produce soluble coffee, coffee mixes, and ready-to-drink coffee beverages to meet growing demand in Thailand and support export opportunities.

BOOSTING REGIONAL COFFEE PRODUCTION  

Nestlé has announced a CHF 563 million investment to establish a new Nescafé production facility in Thailand, underlining its long-term commitment to one of its largest coffee markets.  

Valued at around CHF 1 billion, Thailand’s coffee sector represents a key growth opportunity for the company as demand continues to rise across the region. 

The new manufacturing site will include an integrated distribution centre designed to improve logistics, shorten delivery times, and enhance inventory management, enabling the business to respond more quickly to changing market demand. 

“Coffee is Nestlé’s largest business globally, and Thailand is one of our biggest coffee markets,” said Remy Ejel, Executive Vice President and CEO of Nestlé’s Zone Asia, Oceania and Africa (AOA).  

“By investing in Nescafé, one of our most iconic global brands, we are strengthening our ability to meet growing consumer demand and ensuring local brand relevance to deliver consistent, volume-led growth.  

SUPPORTING LOCAL INDUSTRY AND COMMUNITIES  

Situated in Samut Prakan province, the facility will manufacture the full Nescafé portfolio, including soluble coffee, coffee mixes, and ready-to-drink coffee beverages. 

Once operational in the latter half of 2028, the factory will employ more than 500 people whilst creating additional opportunities for Thai farmers and suppliers through the sourcing of locally produced ingredients and raw materials valued at more than CHF 100 million annually. Nestlé expects the investment to generate wider economic benefits for the surrounding communities. 

The site will incorporate advanced manufacturing technologies, automation, and artificial intelligence-enabled systems to improve operational performance, product quality, and sustainability. 

Amongst the technologies being introduced is Nestlé’s next-generation coffee extraction and aroma recovery system, designed to preserve the aromas released during roasting and enhance the freshness of its coffee products. Robotics and automated systems will also be deployed across packing, transportation, and inventory management processes to improve efficiency throughout the facility. 

REINFORCING THAILAND’S COFFEE SECTOR  

The investment has received support from Thailand’s Board of Investment, reflecting its alignment with the country’s Bio-Circular Green (BCG) economy strategy. 

Nestlé has operated in Thailand for more than 130 years and remains a significant purchaser of locally grown Robusta coffee. The new production facility builds on more than four decades of support for the country’s coffee industry, including the provision of coffee plantlets and initiatives promoting regenerative agriculture and climate resilience. These programmes aim to strengthen coffee quality, improve farmers’ livelihoods, and support environmental protection whilst reinforcing the company’s long-term commitment to Thailand’s agricultural sector. 

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Manufacturers continued to increase safety stock in June as shortages of critical inputs and rising order backlogs kept global supply chains under pressure, according to the latest GEP Global Supply Chain Volatility Index. Procurement teams in North America and Asia maintained strong purchasing activity, while European manufacturers reduced buying volumes.

Supply chain pressures remain elevated

Global supply chain pressures remained elevated in June despite lower oil prices and easing transportation costs, according to the latest GEP Global Supply Chain Volatility Index.

The monthly index, based on a survey of 27,000 businesses, found that uncertainty surrounding the US-Iran ceasefire in the Strait of Hormuz continued to influence procurement and supply chain activity.

Manufacturers reported the highest level of order backlogs caused by shortages of critical inputs since late 2022, indicating that supply chain bottlenecks are likely to persist into at least the third quarter.

Procurement teams increase buffer inventories

Manufacturers continued building buffer inventories during June to reduce the risk of further disruption.

Reports of safety stockpiling increased again and remained at their highest level since January 2023, while demand for raw materials, commodities and intermediate goods remained strong across North America and Asia.

In contrast, European manufacturers reduced input purchasing during the month.

“The rise in stockpiling and persistent order backlogs point to one clear conclusion: businesses still don’t trust the global trading environment to remain stable,” said John Piatek, Vice President, Consulting, GEP.

“Despite lower oil prices and easing transportation costs, companies continue buying ahead because they expect further disruption. While this is encouraging for the global economy in the near term, it also shows manufacturers remain very cautious and are planning for more disruption in international trade.”

Regional supply chain trends

• The GEP Global Supply Chain Volatility Index remained above zero across all major regions in June, indicating that supply chain capacity continued to be stretched.
• Asia recorded an index reading of 1.95, down from 2.96 in May and its lowest level since March. GEP attributed the decline primarily to easing transportation cost inflation.
• North America’s index declined to 1.17 from 1.69, also a three-month low. Despite the easing in overall supply chain pressure, manufacturers significantly increased purchasing activity in response to shortages of critical items and growing order backlogs.
• Europe’s index fell to 1.13 from 1.43. Manufacturers reduced purchasing volumes to the greatest extent since the outbreak of the Middle East war, although inventory levels continued to increase.
• The UK index declined to 1.05 from 1.34, its lowest level since April, as manufacturers reduced activity.

Purchasing activity remains resilient

Demand for production inputs remained strong globally during June, driven primarily by North America and Asia.

In the United States, manufacturers increased purchases of raw materials, commodities and intermediate goods at the fastest rate since April 2022. Purchasing activity also accelerated in Japan, China and Vietnam.

The report found that European manufacturers moved in the opposite direction, reducing purchasing volumes during the month.

Inventory strategies and material shortages

Inventory growth continued as procurement teams sought to protect operations against future supply disruptions and price increases.

Reports of stockpiled materials increasing due to supply or pricing concerns reached their highest level since January 2023, extending the sustained rise seen since the Middle East war began.

Although the indicator measuring material shortages declined during June, suggesting some improvement in global supply availability, shortages remained elevated compared with historical averages. Manufacturers also reported that work backlogs continued to rise because of inadequate availability of critical inputs.

Transportation and labour conditions

Transportation costs declined during June following a sharp fall in global oil prices. However, GEP said transportation costs remained high by historical standards and, excluding April and May, were at their highest level since June 2022.

Labour shortages were less of a constraint on manufacturing capacity. Reports of production backlogs caused by workforce shortages remained broadly in line with historical averages.

What is the GEP Global Supply Chain Volatility Index

The GEP Global Supply Chain Volatility Index is produced by S&P Global and GEP. It is derived from S&P Global’s PMI surveys, sent to companies in over 40 countries, totalling around 27,000 companies. The headline figure is a weighted sum of six sub-indices derived from PMI data, PMI Comments Trackers and PMI Commodity Price & Supply Indicators compiled by S&P Global.

• A value above 0 indicates that supply chain capacity is being stretched and supply chain volatility is increasing. The further above 0, the greater the extent to which capacity is being stretched.
• A value below 0 indicates that supply chain capacity is being underutilised, reducing supply chain volatility. The further below 0, the greater the extent to which capacity is being underutilised.

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Tata Consultancy Services (TCS) has signed a multi-million, multi-year agreement with ABB to modernise the company’s global network operations using artificial intelligence (AI), supporting secure, standardised infrastructure and end-to-end network management as part of ABB’s Future Network Model programme.

AI to underpin ABB’s global network operations

Tata Consultancy Services (TCS) has expanded its long-standing partnership with ABB through a multi-million, multi-year agreement to transform the company’s global network operations with artificial intelligence (AI).

The latest agreement marks the next phase of a 20-year relationship between the two companies. Under the deal, TCS will extend its role from managing infrastructure and applications to delivering end-to-end global network operations through an integrated network-as-a-service model.

The company said the engagement is designed to improve user experience, increase operational efficiency, strengthen security and compliance, scale service delivery, and support ABB’s next generation of digital operations.

Future Network Model drives infrastructure modernisation

The agreement centres on ABB’s Future Network Model programme, an enterprise-wide initiative to create a standardised and centrally managed global digital infrastructure.

As a strategic programme partner, TCS will design, integrate and operate ABB’s global network ecosystem as a secure, AI-driven service while orchestrating the company’s multi-vendor environment to support standardised global operations.

The programme will replace fragmented network environments with a secure, scalable and service-based architecture supported by a centralised control framework.

Key elements include service integration and management (SIAM), a global network operations centre, advanced security capabilities, and modernised local area network (LAN), wide area network (WAN) and software-defined WAN infrastructure. TCS will also provide end-to-end monitoring and orchestration across ABB’s network services.

Focus on resilience, security and operational efficiency

Alec Joannou, Group CIO, ABB, said, “The Future Network Model represents an important milestone in reinforcing the digital foundation of ABB’s global operations. As our business evolves, it is critical to have an ecosystem that is resilient, secure, and aligned with long-term transformation goals.

Our association with TCS reflects a shared focus on delivery excellence, continuous enhancement, and building capabilities that can support our strategic priorities.”

The AI-enabled operating model is intended to strengthen network reliability, improve security, enhance the user experience and support enterprise-scale operations.

Anupam Singhal, President, Manufacturing, TCS, said: “For over two decades, TCS has had the privilege of supporting ABB’s transformation journey, and the Future Network Model marks the next chapter in this partnership. With AI embedded into the network operations model, supported by secure digital infrastructure and our deep domain expertise, we are bringing our ‘infrastructure to intelligence’ approach to build a resilient, intelligent network backbone.

Through this engagement, we will enable network systems that can sense, adapt, and improve continuously, while strengthening reliability, security, user experience, and scale as ABB continues to advance as a future-ready enterprise.”

Two decades of technology collaboration

The new agreement builds on a 20-year relationship between the two companies, during which TCS has supported several technology transformation initiatives for ABB.

Previous programmes have included the consolidation of multiple enterprise resource planning (ERP) systems into a unified SAP platform, as well as cloud transformation and adoption initiatives.

TCS said the latest agreement continues the companies’ long-term collaboration as ABB advances its digital transformation strategy through modernised network operations and AI-enabled infrastructure.

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Lotus Technology Inc. announces the release of its 2025 Sustainability Report, showcasing significant strides in governance, product innovation, and sustainable practices whilst reaffirming its commitment to a greener future in luxury mobility. Dive into the highlights of its ongoing journey towards environmental responsibility and transparency.

DRIVING TOWARDS A GREENER FUTURE

Nasdaq-listed company, Lotus Technology Inc. (Lotus Tech), has released its third-party-assured 2025 Sustainability Report, aligned with international standards.

The company enhanced its governance framework, obtained global information security certifications, and upheld stringent anti-corruption compliance. It expanded its lineup of electrified luxury vehicles, used eco-friendly materials, and achieved zero recalls.

Additionally, the company promoted green manufacturing, increased its use of renewable energy, and advanced sustainable supply chain practices.

Lotus Tech, a leading global provider of intelligent and luxury mobility, emphasised its ongoing efforts to integrate sustainability throughout its global operations.

COMMITMENT TO SUSTAINABILITY

Key highlights from the report include strengthened governance and ethical compliance at Lotus Tech. The company has improved its governance framework and has further integrated compliance and ethical standards throughout its operations.

The company has also achieved international certifications in information security and privacy protection whilst maintaining stringent anti-corruption and fair competition practices globally.

In the area of sustainable product innovation and quality leadership, Lotus Tech has expanded its intelligent luxury product portfolio to include advanced electrified and hybrid solutions.

These products now feature eco-friendly materials and state-of-the-art safety technologies. Throughout the reporting period, the company upheld its industry-leading quality standards, with no recalls for its lifestyle electric vehicle (EV) models.

Moreover, Lotus Tech has made significant strides in its green operations and value chain collaboration, enhancing its climate strategy through green manufacturing practices, a greater reliance on renewable energy, and nature-positive initiatives.

NAVIGATING THE LANDSCAPE

Lotus Tech has made significant strides in enhancing the sustainability of its supply chain, whilst simultaneously fostering a culture of well-being among employees and actively engaging with local communities.

The company proudly operates across diverse markets, including the UK, the European Union (EU), and China, with a strong commitment to excellence and a focus on producing luxury EVs.

Its efforts are underpinned by cutting-edge R&D focused on next-generation automotive technologies, emphasising innovations in electrification, digitalisation, and more, to pave the way for a sustainable and advanced future in mobility.

The post Lotus Technology Inc. Publishes 2025 Sustainability Report, Showcasing Advancements in Governance, Product Innovation, and the Value Chain appeared first on APAC Outlook Magazine.

Chinese supply chain leaders are increasing supplier diversification, investing in artificial intelligence (AI) and expanding into new markets as they respond to a changing global trade environment, according to new research from DP World’s Global Trade Observatory.

What is DP World’s Global Trade Observatory?

Chinese companies are placing greater emphasis on supply chain resilience, digital transformation and market diversification as they prepare for future growth, according to new research from DP World’s Global Trade Observatory.

The international survey, which gathered responses from 292 supply chain and logistics executives in China, found businesses are looking beyond cost and scale to strengthen sourcing strategies, improve operational flexibility and access new markets amid continued uncertainty in global trade.

Supplier Diversification Leads Supply Chain Strategy

Increasing the number of suppliers to diversify sourcing emerged as the most common strategic priority for 2026, cited by 58 per cent of respondents.

The survey also found that 38 per cent of businesses plan to increase near-shoring operations, while 36 per cent intend to adopt friend-shoring strategies. A further 32 per cent said they plan to increase inventory levels.

According to the findings, companies are building more resilient supply chains by expanding supplier networks, increasing route options and creating greater flexibility to respond to changing trade conditions, costs and customer demand.

Resilience Driven by Multiple Factors

The research suggests that these strategic changes are being driven by more than risk mitigation alone.

Respondents identified sustainability and environmental, social and governance (ESG) requirements, new technologies, greater operational agility and resilience, local trade policies and incentives, tariff responses and new market entry as the principal factors influencing supply chain decisions.

The findings indicate that resilience is increasingly being viewed as a long-term competitive capability rather than solely a response to market disruption.

AI and Digitalisation Top Growth Priorities

Technology investment emerged as the leading driver of future business growth.

Half of respondents identified deploying artificial intelligence (AI) as a top priority over the next one to three years, while 44 per cent highlighted wider digitalisation initiatives.

Growing demand from new markets and consumers was cited by 43 per cent of respondents, while 34 per cent identified new value chains as a key growth opportunity.

According to the report, these priorities reflect a growing focus on digital capabilities to improve operational efficiency and support future supply chain development.

Connecting Global Supply Chains

Glen Hilton, Chief Executive Officer and Managing Director, Asia Pacific, DP World, said: “China’s next trade advantage will come from resilience and adaptability, not just scale. Chinese companies are already diversifying suppliers, entering new corridors and investing in digital systems and AI. But that ambition creates most value when companies can see their cargo, switch between routes, clear borders, manage documentation and fulfil reliably across markets. What customers increasingly need is not a disconnected set of providers.

They need an operating partner that can connect the physical and digital layers of trade – ports, terminals, freight forwarding, customs, warehousing, systems and last-mile execution. DP World is built to help make that complexity work at an international level, so businesses can keep moving even as routes, rules and demand change.”

Supporting Cross-Border Trade

The report notes that DP World has seen these trends reflected in its work with customers in China across sectors including e-commerce, automotive, fashion and luxury, food and beverage, healthcare and technology.

According to the company, its operations in China combine freight forwarding, contract logistics, warehousing, customs and documentation support, ports and terminals, and technology-enabled supply chain visibility to help customers improve operational control and execute cross-border trade more efficiently.

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Supporting the global build-out of AI infrastructure, Applied Materials, Inc. has announced its expanded USD$500 million Tampines Campus in Singapore to further strengthen the company’s global footprint.

INNOVATIVE MANUFACTURING OPERATIONS

Applied Materials, Inc. (Applied Materials) – a leader in materials engineering solutions for the semiconductor industry – is expanding its manufacturing and R&D operations at its Tampines Campus in Singapore.

This campus will more than double the company’s advanced cleanroom capacity within the country and ultimately strengthen Applied Materials’ global manufacturing footprint, which spans locations in the US, Europe, Taiwan, and other regions. Specifically, the Tampines Campus’ priority is to serve chipmakers that are expanding production to meet the increasing demand for artificial intelligence (AI).

“AI is transforming every industry, creating unprecedented demand for advanced semiconductors. Our expanded manufacturing operations in Singapore strengthen Applied Materials’ ability to deliver semiconductor manufacturing equipment that chipmakers need to bring next-generation chips to market faster,” notes Gary Dickerson, President and CEO of Applied Materials.

Through this expansion, the company is able to take a major step forward in its Singapore 2030 plan, which comprises strengthening global manufacturing and R&D capabilities, broadening technology ecosystem partnerships, and promoting local workforce development, such as adding approximately 1,000 new local jobs.

“Singapore has been a strategic hub of Applied Materials’ global operations for 35 years, and our expansion here is a testament to the world-class semiconductor ecosystem, infrastructure, and talent this country has built. Our new AI-enabled automation-ready facility represents the next era of advanced manufacturing optimised for speed, precision, and quality,” explains KC Ong, Group Vice President of Worldwide Manufacturing at Applied Materials.

EXPANDING GLOBAL R&D

By deploying autonomous mobile robots, autonomous assembly and testing systems, and AI-assisted quality inspection, the Tampines Campus is setting a benchmark for sustainable, intelligent semiconductor equipment production.

“Applied Materials’ use of advanced automation and AI technologies in the new facility will accelerate product development and push the envelope of advanced manufacturing capabilities in Singapore. We welcome this expansion that will strengthen our vibrant semiconductor ecosystem, creating quality jobs and opportunities for Singaporeans,” says Png Cheong Boon, Chairman of Singapore’s Economic Development Board.

The campus has been designed to adhere to the Building and Construction Authority (BCA) Green Mark Platinum Certification, which is the highest tier of Singapore’s green building rating system. This is in addition to the campus’s other features, including an on-site solar panel system, LED lighting, low-carbon concrete construction, a closed-loop water reclamation system for zero water waste, and a smart building management system to monitor in real-time energy and water consumption.

In order to expand its global R&D and manufacturing footprint, Applied Materials has worked over the past few years to nearly double its global manufacturing capacity. The company has also invested over USD$400 million in its US equipment manufacturing infrastructure over the course of the past five years, with its new USD$5 billion EPEC Center in Silicon Valley representing the largest-ever US investment in advanced semiconductor equipment R&D.

Ultimately, Applied Materials’ new state-of-the-art Tampines Campus is designed to drive resilience and scalability, setting a landmark precedent for sustainable, intelligent semiconductor equipment production.

The post Applied Materials Inc. Expands Its Singapore Manufacturing and R&D Operations appeared first on APAC Outlook Magazine.

Amazon will invest more than $48 billion in India by 2030, combining AI infrastructure, cloud capacity and logistics expansion in one of the world’s fastest-growing supply chain markets as the country strengthens its role as a global manufacturing and export hub.

Amazon scales AI infrastructure and logistics network across India

Amazon has announced plans to invest more than $48 billion in India between 2026 and 2030, significantly expanding its AI, cloud and logistics infrastructure as it strengthens the country’s position as a strategic supply chain and manufacturing hub.

The latest commitment includes an additional $13 billion to expand AWS AI and cloud infrastructure, building on the $35 billion investment announced in 2025. Cumulative investment in India between 2010 and 2030 will now exceed $88 billion.

The announcement follows a meeting between Amazon CEO Andy Jassy and Indian Prime Minister Narendra Modi in New Delhi, where the company reaffirmed its long-term commitment to supporting India’s digital economy, exports and industrial growth.

Investment targets AI infrastructure and supply chain capacity

Alongside expanding AWS data centre capacity in Mumbai and Hyderabad, Amazon will continue investing heavily in its physical operations network to support growing ecommerce and business demand across the country.

The company plans to open more than 20 new fulfilment centres and over 100 last-mile delivery stations during 2026, extending logistics coverage into India’s rapidly growing Tier 3 and Tier 4 cities while improving delivery speed and network resilience.

The expanded cloud infrastructure will provide businesses, manufacturers, startups and public sector organisations with greater access to AI services, custom silicon, cloud computing and developer tools designed to accelerate digital transformation.

Supporting India’s manufacturing and export ambitions

Amazon says its investment strategy aligns closely with India’s ambitions to strengthen domestic manufacturing, increase exports and build AI capabilities across industry.

Since entering India, the company has digitised more than 12 million small businesses, enabled over $20 billion in ecommerce exports, trained 10 million people in cloud skills, and supported 2.8 million jobs across its operations and wider ecosystem.

A Vision for India

Looking ahead to 2030, Amazon aims to support 3.8 million jobs, enable $80 billion in cumulative exports, help 15 million small businesses adopt AI technologies and provide AI education to four million government school students.

Amazon CEO Andy Jassy said:

“As we grow Amazon in India, our business priorities align with India’s priorities of democratising access to AI, digitizing small businesses, creating jobs, and enabling exports, and we are investing over $48 billion in the coming five years to meet the strong demand across our business in India and to help India achieve these priorities.

We are inspired by Prime Minister Modi’s vision of a Viksit and Atmanirbhar Bharat, and we are committed to being a long-term partner in India’s growth story.”

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Danone is expanding its footprint in Asia Pacific through the acquisition of MADE Group and full ownership of its Australian dairy venture, reinforcing its healthy nutrition ambitions.

Danone has announced two strategic acquisitions designed to strengthen its position in the fast-growing healthy nutrition market across the Asia-Pacific (APAC) region.

The company has entered into definitive agreements to acquire Australia-based MADE Group, whilst also securing the remaining 49 percent stake in its existing fresh dairy joint venture with Saputo Dairy Australia.

Together, the transactions are expected to create new opportunities for profitable growth across APAC, whilst enhancing Danone’s ability to meet increasing consumer demand for health-focused nutrition products.

EXPANDING A HEALTH-FOCUSED PORTFOLIO

The acquisition of MADE Group brings a rapidly growing portfolio of brands that are closely aligned with some of the strongest consumer trends in food and nutrition.

Headquartered in Melbourne, MADE has built a reputation for innovation and marketing excellence, supported by a comprehensive route-to-market strategy and supply chain network. Its portfolio includes high-protein ready-to-drink products, gut-health yoghurts, and coconut-based offerings, all categories benefiting from increasing consumer interest in healthier lifestyles.

The company has established a strong presence across Australia, New Zealand, and Southeast Asia, consistently delivering double-digit growth alongside attractive margins.

With sales exceeding €300 million for the fiscal year ending June 2026, MADE is expected to become a meaningful contributor to Danone’s Essential Dairy and Plant-Based (EDP) business in APAC. The acquisition is also expected to be accretive to both Danone’s operating margin and earnings per share from the first year following completion.

BUILDING ON AN ESTABLISHED AUSTRALIAN PRESENCE

Alongside the MADE acquisition, Danone will acquire the remaining stake in its fresh dairy joint venture with Saputo Dairy Australia.

The partnership has enabled Danone to establish a strong position in Australia’s functional yoghurt category, supported by flagship brands including YoPRO, Activia, and Ultimate.

By taking full ownership of the business, Danone aims to increase operational flexibility and further strengthen its position within the Australian market.

Both transactions remain subject to customary closing conditions and regulatory approvals, with completion expected during the second half of 2026.

ADVANCING THE RENEW STRATEGY

Commenting on the announcement, Danone’s CEO Antoine de Saint-Affrique described the transactions as another step forward in the company’s Renew Strategy.

He highlighted MADE’s strong portfolio of healthy nutritional products, particularly within the gut health and protein segments, as well as its proven ability to deliver rapid and profitable growth.

The acquisitions also reflect Danone’s broader approach of combining organic growth with targeted investments that enhance its ability to serve growing demand for healthy nutrition solutions.

ACCELERATING REGIONAL OPPORTUNITIES

For MADE Group, the agreement marks the beginning of a new phase of growth.

CEO Amanda Butler said the company had built a portfolio of trusted brands and innovative products focused on delivering improvements in nutrition, taste, and quality.

She added that Danone’s shared commitment to health and innovation would provide access to new infrastructure, capabilities, and research and development expertise.

The combination is expected to help accelerate MADE’s expansion across the region, whilst creating additional opportunities to strengthen its position within the healthy nutrition market.

As consumer demand for protein-rich, functional, and health-oriented food products continues to rise across APAC, the transaction positions both companies to capitalise on some of the region’s most attractive long-term growth trends.

The post Danone and MADE Group Strengthen APAC Nutrition Growth appeared first on APAC Outlook Magazine.

Adani Group and Jabil plan to establish a vertically integrated AI infrastructure manufacturing platform in India, targeting global demand for AI-ready data centre hardware while strengthening supply chain resilience and advancing India’s ambitions as a major technology manufacturing hub.

India targets a larger role in the global AI supply chain

As the race to build AI infrastructure accelerates, attention is increasingly shifting beyond chip design and cloud platforms to the manufacturing ecosystems capable of delivering the physical hardware that powers artificial intelligence.

Adani Group and Jabil have announced plans to form a strategic alliance to establish what they describe as a world-class, vertically integrated AI and data centre infrastructure manufacturing platform in India.

The proposed partnership combines Adani’s infrastructure footprint and energy capabilities with Jabil’s advanced manufacturing expertise to address rising domestic and international demand for AI-ready data centre equipment.

If realised, the initiative could position India as a significant export hub for AI infrastructure at a time when organisations are seeking to diversify supply chains and reduce concentration risks.

Building an end-to-end AI infrastructure manufacturing ecosystem

The alliance aims to go beyond assembling individual components by creating a comprehensive manufacturing ecosystem covering multiple layers of data centre infrastructure.

The platform is expected to focus on three core areas.

Giga-scale AI rack manufacturing

The companies plan to establish multi-gigawatt capacity for high-density AI rack manufacturing in India.

The facilities would support the production and integration of:

• Next-generation liquid-cooled AI racks
• Servers
• Storage systems
• Networking systems
• Surface Mount Technology (SMT) assemblies
• Complex box-build processes

The intended customer base includes hyperscale cloud providers, colocation operators and enterprise data centre operators.

Beyond the rack: white space and grey space infrastructure

The alliance also intends to manufacture critical supporting infrastructure required inside data centres.

• Power Distribution Units (PDUs);
• Coolant Distribution Units (CDUs);
• Transformers;
• Switchgears;
• Bus bars; and
• Advanced thermal management systems.

These capabilities are designed to provide customers with a single-source, design-to-deployment solution.

Transitioning toward execution

While the collaboration remains subject to definitive agreements, both organisations said they are currently working on the operational frameworks and documentation needed to advance the manufacturing roadmap.

AI demand reshapes manufacturing priorities

The announcement comes amid unprecedented investment in AI infrastructure globally, as the companies estimate the initiative addresses a market opportunity exceeding US$3 trillion over the next seven years, driven by structural investment in AI computing capacity.

India’s own market is evolving rapidly and industry forecasts project India’s data centre capacity could reach between 5GW and 8GW by 2030, fuelled by:

• Growing AI adoption
• Expansion of cloud services
• Data localisation requirements
• Increased investment from global hyperscalers

More than US$50 billion in planned spending across India’s data centre, cloud and AI ecosystems is also expected to support growth.

Linking energy and compute

The initiative complements Adani Group’s previously announced commitment to develop 5GW of green-energy-powered, hyperscale AI-ready data centres by 2035.

For Adani Chairman Gautam Adani, the convergence of energy infrastructure and computing capability represents a defining economic shift.

“The world is entering an Intelligence Revolution more profound than any previous Industrial Revolution. Nations that master the symmetry between energy and compute will shape the next decade. India is uniquely positioned to lead. Our alliance with Jabil represents a decisive step in building India’s complete AI infrastructure stack — from green power generation to world-class hardware manufacturing. Together, we will ensure India is not merely a consumer in the AI age, but a creator, builder, and exporter of intelligence.”

Jabil expands its role in AI infrastructure manufacturing

For Jabil, the partnership extends its growing presence in AI-related manufacturing.

The company reported US$29.8 billion in revenue for fiscal year 2025 and has expanded its capabilities through investments and acquisitions, including Hanley Energy Group and Mikros Technologies.

Jabil CEO Mike Dastoor said the collaboration aligns with the company’s objective of supporting customers throughout the AI product lifecycle.

“This strategic collaboration with Adani Group is another step forward in our efforts to create long-term value for customers throughout the AI ecosystem by offering scalable solutions across the product lifecycle. By combining Jabil’s more than sixty years of engineering expertise and advanced manufacturing capabilities with Adani’s formidable infrastructure and energy platform, we can expect to execute down to the rack level for hyperscalers and enterprises here in India and across the globe. As India becomes one of the world’s fastest-growing AI markets, the country’s skilled workforce and supportive business environment make it an attractive destination for this collaboration.”

The post How Adani and Jabil Plan to Build the Next Generation of AI Data Centre Infrastructure appeared first on APAC Outlook Magazine.

The International Mining and Resources Conference + Expo (IMARC) returns to ICC Sydney from 27 – 29 October 2026, bringing together mining leaders, investors, technology providers, policymakers, and operational teams from across the world.

Recognised as Australia’s International Mining Week, IMARC serves as a meeting point for the global mining community, creating opportunities to share ideas, attract investment, explore emerging technologies, and build partnerships that support the future of the industry.

With more than 12,000 attendees expected from over 120 countries, the event offers one of the largest gatherings of mining professionals anywhere in the world.

Why Attend IMARC 2026?

IMARC’s multi-stream conference programme covers the most important issues facing mining today, including operational excellence, sustainability, critical minerals, innovation, technology adoption, investment, and workforce development.

Attendees can:

• Hear from 500+ industry leaders and experts.
• Explore solutions from 500+ exhibitors.
• Connect with investors and project developers from around the globe.
• Discover emerging opportunities across critical minerals and precious metals.
• Learn from mining companies, contractors, government representatives, and technology innovators.
• Network with decision-makers from every stage of the mining value chain.

Meet Mining Leaders from Around the World

The 2026 programme will feature senior executives and industry experts from organisations including:

• BHP
• Rio Tinto
• Fortescue
• Vale
• Glencore
• Thiess
• Perenti
• Agnico Eagle
• Hexagon
• Jefferies

Early confirmed speakers include leaders from mining operations, investment firms, technology providers, government departments, and critical minerals organisations, ensuring a broad perspective on the challenges and opportunities shaping the sector.

Discover the Technologies Driving Mining Forward

The IMARC exhibition will showcase more than 500 solution providers demonstrating equipment, technologies, services, and innovations designed to improve mining performance.

Visitors will have the opportunity to explore advancements across:

• Automation and digital transformation
• Artificial intelligence and data analytics
• Mine planning and optimisation
• Sustainability and ESG initiatives
• Safety and workforce solutions
• Exploration technologies
• Processing and operational efficiency

Investment and Critical Minerals Opportunities

IMARC continues to be a major destination for investors and mining companies seeking capital, partnerships, and project visibility.

The event’s dedicated investment activities provide opportunities to connect with junior miners, project developers, institutional investors, and financial leaders focused on critical minerals, precious metals, and future resource demand.

More than 700 investors are expected to attend, creating a valuable environment for networking and business development.

Complimentary Access for Mining Personnel

Eligible personnel from mining companies and mining contractors can apply for a complimentary IMARC Mining Guest Pass, providing access to the conference programme, exhibition, operator-focused sessions, and networking opportunities.

Senior mining professionals may also be invited to participate in the Hosted Buyer Program, which facilitates direct engagement with suppliers through curated meetings, guided exhibition tours, and exclusive networking events.

Event Details

• Event: International Mining and Resources Conference + Expo (IMARC) 2026
• Date: 27 – 29 October 2026
• Venue: ICC Sydney, Australia
• Attendees: 12,000+
• Speakers: 500+
• Exhibitors: 500+
• Investors: 700+
• Countries Represented: 120+

IMARC 2026 offers a unique opportunity for mining professionals, investors, suppliers, and industry leaders to connect with the people, technologies, and ideas shaping the future of global mining.

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Schneider Electric and Hon Hai Technology Group (Foxconn) are joining forces to develop next-generation AI data centre infrastructure, combining energy management, power and cooling expertise with advanced AI computing platforms to help organisations deploy AI capacity faster, more efficiently and at greater scale.

Strategic Partnership Targets the Future of AI Infrastructure

As AI adoption accelerates worldwide, organisations are facing mounting pressure to scale digital infrastructure while managing energy consumption, operational complexity and sustainability goals. Against this backdrop, Schneider Electric and Hon Hai Technology Group (Foxconn) have announced a strategic collaboration to develop and deploy next-generation AI data centre solutions designed to meet the rapidly evolving demands of AI workloads.

The partnership combines Foxconn’s expertise in AI rack integration, advanced compute platforms and global manufacturing with Schneider Electric’s capabilities in power systems, cooling technologies and energy management. Together, the companies aim to deliver integrated, ready-to-deploy AI infrastructure solutions that enable customers to deploy capacity more quickly and predictably across global markets.

Production is scheduled to begin later this year.

Addressing the Energy Challenge of AI Growth

The rapid expansion of AI is transforming the requirements of data centre infrastructure, placing greater emphasis on power availability, cooling performance and operational efficiency. For technology leaders, infrastructure providers and enterprise operators, balancing AI growth with sustainability objectives has become a critical challenge.

“At the pace AI is evolving, the industry requires a new model for how infrastructure is designed, built, and delivered,” said Young Liu, Chairman of Foxconn.

“By combining Foxconn’s strength in AI systems and global manufacturing with Schneider Electric’s deep expertise in power and energy, we are creating a path for customers to deploy AI capacity at scale—faster, smarter, and more sustainably.”

The collaboration reflects a broader industry shift toward integrated infrastructure models that can accelerate deployment timelines while improving energy efficiency and operational resilience.

Co-Developing Energy-Intelligent AI Data Centres

A central focus of the partnership will be the development of next-generation reference architectures for AI data centers. The companies will also explore innovations in:

• Closed-Loop Energy Optimisation

By integrating energy intelligence into AI infrastructure design, Schneider Electric and Foxconn aim to help operators improve energy performance while supporting increasingly compute-intensive workloads.

• Modular Power and Cooling Systems

The collaboration will investigate modular power and cooling skids designed to simplify deployment, improve scalability and support more standardised AI infrastructure builds.

• Standardised AI Data Centre Frameworks

The partners plan to develop repeatable design blueprints that can help organisations deploy AI capacity more efficiently across regions while reducing implementation complexity and risk.

Sustainability and Efficiency at the Core

For sustainability leaders and data centre operators, the partnership underscores the growing importance of energy management as AI adoption scales.

“AI demand continues to accelerate, and as compute scales to keep pace, the energy behind it becomes a fundamental enabler,” said Olivier Blum, CEO of Schneider Electric.

“If we want to scale AI responsibly, these systems must be connected. This is where energy intelligence becomes essential. At Schneider Electric, we are advancing energy tech to build the most efficient and sustainable AI factories by bringing integrated power, cooling, and digital capabilities into AI data centres. Working with Foxconn, we are helping customers build capacity with real speed, resilience, and efficiency, as energy technology partners to an industry that is firmly entering the era of intelligence.”

Building the Foundation for Sustainable AI Factories

By bringing together manufacturing scale and energy management expertise, Schneider Electric and Foxconn aim to create a new generation of AI infrastructure designed to support both performance and sustainability objectives.

The companies say their collaboration will establish scalable, energy-efficient frameworks for AI data centres that can help organisations meet rising demand for AI computing while improving deployment speed, operational resilience and resource efficiency.

As AI infrastructure investment continues to grow, partnerships that combine advanced computing capabilities with energy optimisation are expected to play an increasingly important role in shaping the next generation of sustainable digital infrastructure.

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PwC’s latest Global AI Jobs Barometer suggests artificial intelligence is creating a new divide in the labour market, with companies that use AI to amplify human expertise outperforming those focused primarily on automation, while demand for leadership, judgement and creativity continues to rise.

Amplification vs Automation

Artificial intelligence is reshaping the global workforce in ways that extend far beyond automation, according to PwC’s 2026 Global AI Jobs Barometer, which analysed more than one billion job advertisements across 27 countries and territories.

The report points to the emergence of what PwC describes as a “two-track” labour market, where some roles are becoming more valuable and human-centric as AI takes over routine tasks, while others are being simplified through AI-driven accessibility and automation.

For businesses, the findings suggest that competitive advantage may increasingly depend not only on adopting AI technologies but on how effectively organisations combine AI capabilities with human expertise.

AI Is Creating Two Distinct Paths in the Labour Market

At the centre of the report is the growing distinction between what PwC calls “professionalised” and “democratised” jobs.

Professionalised roles are those where AI acts as a force multiplier, enabling skilled workers to focus on higher-value activities such as decision-making, problem-solving and innovation. Examples include occupations such as recruiters and radiologists, where AI can automate routine processes while increasing the importance of human judgement.

By contrast, democratised roles are those where AI lowers barriers to entry, enabling non-specialists to perform tasks that previously required greater expertise.

According to PwC, professionalised roles are experiencing stronger growth across both employment and wages, with available jobs growing at twice the rate of democratised occupations and salaries increasing 42% faster.

Human Skills Are Becoming More Valuable, Not Less

One of the report’s most notable findings is the increasing importance of traditionally human skills.

Rather than reducing demand for people, AI appears to be shifting the skills organisations value most. Leadership, creativity, communication, judgement and adaptability are becoming increasingly important across a wide range of industries and job levels.

The trend is particularly evident in entry-level positions.

Analysis of 2.4 million entry-level roles in the United States found that jobs with high AI exposure are now seven times more likely to require skills traditionally associated with senior employees, including leadership, decision-making and interpersonal engagement.

Demand for these “seniorised” entry-level roles has grown by 35% since 2019, while other entry-level positions have declined by 10%.

Joe Atkinson, Global Chief AI Officer at PwC, believes the findings signal a fundamental shift in how organisations create value.

“Across the global economy, we’re beginning to see a new divide emerge between different models for talent and value creation. The companies seeing the greatest returns on AI are using it to amplify human expertise, accelerate innovation and create entirely new sources of value. As a result, they are pulling further ahead on productivity and growth than companies that focus primarily on automation.”

AI Leaders Are Pulling Ahead on Growth and Productivity

The report also highlights a widening performance gap between organisations that have successfully embedded AI into their operations and those that have not.

Companies operating in the sectors most exposed to AI recorded labour productivity growth of 34% between 2018 and 2025, compared with 24% among organisations with lower AI exposure.

Within that group, PwC identified a category of “super-star companies” that are significantly outperforming their peers. The top 20% of AI-exposed organisations achieved average labour productivity growth of 163% over the same period, nearly five times the broader average for AI-intensive businesses.

Importantly, AI adoption does not appear to be suppressing hiring.  The most AI-exposed companies recorded workforce growth of 52% since 2018, compared with 36% among less AI-intensive organisations, suggesting that successful AI deployment may be creating opportunities for expansion rather than workforce reduction.

The Premium on AI Skills Continues to Grow

Demand for AI-related expertise continues to accelerate across the global labour market.

Jobs requiring specific AI capabilities, including machine learning and prompt engineering, grew by 69% compared with overall labour market growth of 9%.

The financial rewards are also increasing, as PwC found the average wage premium for workers with AI skills has climbed to 62%, up from 57% a year earlier. In some sectors, including consumer markets, the premium exceeds 100%.

Technology, media and telecommunications recorded the highest concentration of AI-related job growth, followed by professional services.

Organisations Must Rethink Workforce Development

The findings suggest organisations may need to revisit traditional approaches to workforce development and talent management.

As AI takes on more routine and administrative work, businesses may need new ways to help employees develop experience, judgement and leadership capabilities that were previously acquired through years of incremental career progression.

Pete Brown, Global Workforce Leader at PwC, said organisations must adapt their talent strategies to reflect this changing reality.

“The traditional relationship between experience and expertise is changing. AI is removing some of the routine work that once acted as an apprenticeship, while increasing demand for judgement, leadership and adaptability much earlier in careers. Organisations need to rethink how they develop talent if they want people to thrive in this new environment.”

What the AI Jobs Barometer Means for Business Leaders

For business leaders, the report reinforces a growing theme emerging across industries: the greatest value from AI may come not from replacing people, but from enhancing their capabilities.

As AI becomes more deeply integrated into business operations, organisations that successfully combine technology with human expertise appear best positioned to improve productivity, attract talent and create new sources of growth.

The challenge for many companies will be ensuring their workforce strategies evolve as quickly as their AI investments.

PwC’s latest findings suggest the future labour market may not be defined by a divide between humans and machines, but by a divide between organisations that use AI to augment human potential and those that do not.

The post “A New Divide”: PwC Global Chief AI Officer Joe Atkinson on PwC’s 2026 Global AI Jobs Barometer Report appeared first on APAC Outlook Magazine.

New data from the GEP Global Supply Chain Volatility Index shows manufacturers across North America, Europe and Asia are accelerating inventory build-ups and front-loading purchases as concerns over inflation, shortages and supply chain disruption intensify, raising questions about supply chain resilience in the second half of 2026.

Key Regional Findings May 2026

Global supply chains remained under significant pressure in May as manufacturers increased purchasing activity and expanded safety stock levels in anticipation of higher costs and potential supply disruptions later this year, according to the latest GEP Global Supply Chain Volatility Index.

The index, which draws on survey data from approximately 27,000 businesses worldwide, indicates that companies are taking proactive measures to secure supply and manage inflation risks, driving a sharp increase in inventory accumulation and raw material purchasing.

• ASIA: Index fell from 3.79 to 2.96, signalling a slight easing of pressures versus April. Nonetheless, the index was indicative of significant supply chain stress for Asian manufacturers. 
• NORTH AMERICA: Index rose to 1.69, from 1.52, its highest level since August 2022. Stronger purchasing activity, particularly in the U.S., and greater stockpiling, drove the rise in supplier capacity pressures. 
• EUROPE: Index fell to 1.43, from 1.64, as factory purchasing volumes across the continent were tapered. This reflected fresh signs of weakness in the German and French manufacturing economies. 
• U.K.: Index rises to three-and-a-half year high of 1.34, up from 0.96 in April, pointing to greater capacity constraints for suppliers used by U.K. manufacturers.  

Manufacturers Accelerate Inventory Build-Up to Mitigate Risk

Safety stockpiling reached its highest level since January 2023, reflecting a growing trend among manufacturers to build inventory buffers against anticipated price increases and supply constraints.

The increase in precautionary purchasing pushed global demand for raw materials, commodities and intermediate goods to its strongest level since March 2022. Manufacturers across Asia, North America and Europe reported more aggressive inventory strategies as geopolitical tensions and supply uncertainty continued to influence procurement decisions.

The data suggests businesses are prioritising supply assurance over inventory optimisation, a trend reminiscent of behaviours seen during the height of the 2021–2023 supply chain crisis.

Supply Shortages Continue to Worsen Across Global Markets

Compounding the situation, material shortages intensified in May, reaching their highest level in three-and-a-half years.

The combination of constrained supply and stockpile-driven demand is placing additional pressure on suppliers and contributing to rising factory-gate costs. Elevated transportation expenses have further amplified supply chain challenges, despite some easing from the record highs recorded in April.

May marked the third consecutive month in which stockpiling activity, shortages and transportation costs all remained elevated simultaneously — a pattern rarely observed outside major supply chain disruptions.

According to GEP, similar conditions in the past have often been followed by a period of correction as inventory levels normalise and purchasing activity slows.

North America Records Highest Supply Chain Pressure Since 2022

Regional data highlighted growing pressure on supplier capacity, particularly in North America.

The North American index rose to 1.69 in May, its highest reading since August 2022, driven by stronger purchasing activity and increased inventory accumulation, particularly among U.S. manufacturers.

Asia remained the most strained region globally despite a modest easing in conditions. The regional index fell from 3.79 to 2.96, although manufacturers continued to report significant supply chain stress. Increased purchasing activity was reported across several key manufacturing economies, including Japan, India, South Korea and Taiwan.

In Europe, supply chain pressures eased slightly as procurement activity slowed, reflecting continued weakness in major manufacturing economies such as Germany and France. However, the UK diverged from the broader European trend, with its index climbing to a three-and-a-half-year high as supplier capacity constraints intensified.

Procurement Teams Face a Potential Demand Correction

The latest findings suggest that current procurement activity may represent a temporary surge rather than a sustained increase in underlying demand.

John Piatek, Vice President, Consulting at GEP, said the current wave of purchasing reflects efforts by businesses to limit exposure to future inflationary pressures.

“The path for inflation is already being set, and companies are trying to limit the damage,” said Piatek.

“The surge in purchasing we saw in April and May is likely temporary. Once companies have built inventory, they and their customers will pull back, which means supply chain pressures may ease.”

He added that inventory drawdowns later in the year could contribute to softer economic conditions and reduced purchasing volumes across supply chains.

“But, even if the Strait of Hormuz is opened fully, economic conditions will likely weaken in the second half of the year as companies will pull back on their input purchasing to draw down the inventories they’ve built up.”

About the GEP Global Supply Chain Volatility Index

The GEP Global Supply Chain Volatility Index is produced by S&P Global and GEP. It is derived from S&P Global’s PMI® surveys, sent to companies in over 40 countries, totalling around 27,000 companies.

The headline figure is a weighted sum of six sub-indices derived from PMI data, PMI Comments Trackers and PMI Commodity Price & Supply Indicators compiled by S&P Global.

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Hitachi and Intel have launched a strategic collaboration spanning physical AI, semiconductor manufacturing, energy systems, quantum computing and factory automation, aiming to help manufacturers and infrastructure operators deploy next-generation industrial intelligence at scale.

Hitachi and Intel expand partnership around industrial AI

Hitachi and Intel have announced a strategic collaboration designed to accelerate the deployment of artificial intelligence across manufacturing, energy, mobility and other critical industrial sectors.

The partnership combines Hitachi’s expertise in information technology (IT), operational technology (OT) and industrial systems with Intel’s computing, semiconductor and AI capabilities to develop new solutions that support smarter, more resilient infrastructure and production environments.

The companies will initially focus on five areas: semiconductor foundry tools, quantum computing, energy optimisation, custom silicon and edge AI, and factory automation.

Physical AI emerges as the next industrial frontier

A central focus of the collaboration is the development of what the companies describe as “physical AI” – the application of artificial intelligence to real-world industrial systems, equipment and infrastructure.

Rather than concentrating solely on enterprise software applications, the partnership aims to bring AI closer to industrial operations, enabling predictive maintenance, autonomous systems, intelligent automation and real-time operational optimisation.

The initiative reflects growing industry efforts to move AI beyond data analysis and into the management of physical assets and production processes.

Semiconductor manufacturing a key focus

One of the first areas of collaboration will be semiconductor manufacturing.

Hitachi plans to combine data generated from its metrology and etching systems with its ExTOPE integrated platform to support predictive diagnostics and maintenance optimisation in chip production environments.

The companies say the approach could help improve manufacturing yields, enhance product quality and reduce time to market in increasingly complex semiconductor fabrication processes.

The partnership comes as semiconductor manufacturers continue to seek AI-driven approaches to improve operational efficiency and process control.

Energy optimisation and factory efficiency

Energy management is another major component of the agreement.

Hitachi’s HMAX Energy platform is expected to be deployed within Intel fabrication facilities to provide managed services for core power infrastructure. At the same time, Intel plans to supply high-voltage silicon chips designed to enhance the performance of Hitachi’s power systems.

The collaboration highlights the increasing convergence of energy management, digital infrastructure and manufacturing operations as companies seek to reduce costs and improve resilience.

Quantum computing and industrial innovation

The companies also intend to deepen existing research collaboration in quantum computing.

Joint development efforts between Hitachi and Intel research teams are expected to focus on accelerating the advancement of quantum technologies and exploring future industrial applications.

While still emerging, quantum computing is increasingly being viewed as a potential tool for solving complex optimisation, simulation and materials science challenges across manufacturing and infrastructure sectors.

Factory automation and edge AI opportunities

Beyond semiconductor production and energy systems, the companies are exploring opportunities in custom silicon, edge AI and factory automation.

These areas are expected to leverage Intel’s advanced computing platforms alongside Hitachi’s operational technology expertise to support more intelligent industrial environments.

Potential applications include autonomous industrial equipment, AI-enabled monitoring systems and advanced automation technologies capable of operating closer to the production edge.

Building the infrastructure for industrial AI adoption

The partnership reflects a broader shift in how industrial organisations are approaching AI deployment.

As manufacturers and infrastructure operators seek to modernise operations, the focus is increasingly moving from standalone AI applications toward integrated platforms that combine computing power, industrial data and operational expertise.

“Building on more than 40 years of trust with Intel, we are delighted to launch a comprehensive strategic collaboration,” said Toshiaki Tokunaga, President & CEO, Hitachi, Ltd.

“As the emergence of Physical AI brings a significant impact on our society, this collaboration will accelerate AI transformation across a wide range of industries that support social infrastructure. By combining Hitachi’s IT, OT, and products with Intel’s advanced computing capabilities, we are well positioned to advance the deployment of AI in mission-critical social infrastructure worldwide. We will also create new value in frontier fields such as quantum computing.”

“The coming wave of physical AI will transform the industrial edge of our economy through new advances in robotics, autonomous machines, and other AI edge devices,” added Lip-Bu Tan, CEO, Intel Corporation.

“By combining Intel’s advanced computing and AI capabilities with Hitachi’s deep OT expertise and world class IT capabilities, we are uniquely positioned to help industries capture the enormous opportunity represented by physical AI at industrial scale. Together, we will accelerate the deployment of intelligent, real-world systems and bring the benefits of AI to more businesses and industries around the world.”

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New Haleon manufacturing facility and expanded community outreach aim to improve oral health access for more than 300 million additional consumers.

A Key Strategic Market

Haleon is investing £175 million in India to expand oral health manufacturing capacity, strengthen rural healthcare access and accelerate distribution of preventive health products, as the company targets more than 300 million additional consumers in one of the world’s fastest-growing consumer health markets.

India’s growing focus on preventive healthcare and self-care is creating significant opportunities to address unmet health needs, particularly in rural communities where access to healthcare services remains limited.

Haleon has announced plans to invest approximately £175 million in a new oral health manufacturing facility in Madhya Pradesh, alongside an expanded rural distribution and health education programme designed to improve access to oral healthcare across underserved regions.

The investment forms part of Haleon’s broader ambition to reach one billion more consumers globally by 2030, with India identified as a key strategic growth market.

Strengthening Capacity to Meet Rising Healthcare Demand

The new manufacturing facility will increase Haleon’s local production capabilities for oral health brands including Sensodyne and parodontax, while also supporting supply to other Asian markets.

According to the company, strengthening in-house manufacturing and supply chain capabilities will improve resilience and enable faster responses to evolving healthcare needs.

India’s consumer health market is forecast to exceed £23 billion by 2030, driven by increasing awareness of preventive health and growing adoption of self-care solutions.

The facility is expected to open in early 2028, with production commencing the following year.

“India is a key strategic market for Haleon and an important driver of our long-term growth,” said Brian McNamara, CEO, Haleon.

“This investment strengthens our local manufacturing footprint and expands our reach in one of the world’s fastest-growing consumer health markets. By increasing access to our trusted brands and building our capabilities on the ground, we are well positioned to capture the significant opportunities ahead.”

Addressing Significant Oral Health Gaps in Rural Communities

Haleon’s investment comes as significant oral health challenges persist across rural India, where healthcare access remains constrained.

The company notes that rural areas account for approximately 65% of India’s population, spread across more than 650,000 villages. Access to dental services remains limited, with a single dentist often serving around 250,000 people in some rural regions.

Low utilisation of preventive dental care contributes to untreated oral health conditions, including tooth sensitivity and tooth decay.

To address these challenges, Haleon plans to expand distribution to more than three million retail outlets by 2030, while increasing availability of lower-cost oral healthcare products, including small-format Sensodyne packs designed to improve affordability.

Expanding Community-Based Health Outreach

Alongside product distribution, Haleon is increasing investment in community health engagement programmes aimed at improving oral health awareness and early intervention.

The company is doubling the number of frontline health teams operating in rural areas. Equipped with diagnostic tools, testing kits and product samples, these teams work directly with communities that may have limited access to traditional healthcare channels.

Haleon is also expanding its network of mobile oral health education units, which provide oral health awareness activities, gum health assessments and sensitivity checks within local communities.

These initiatives are designed to help identify oral health issues earlier while encouraging greater adoption of preventive care practices.

Workforce Expansion Supports Healthcare Access Strategy

Supporting the expansion is a significant investment in workforce development.

Haleon has recruited more than 500 additional sales and distribution employees over the past 12 months to strengthen market coverage and improve access to healthcare products in underserved areas.

The new manufacturing facility is expected to create up to 500 additional jobs while strengthening local technical and manufacturing capabilities in central India.

Healthcare Access at the Centre of Growth Strategy

Haleon says the combined manufacturing, distribution and community engagement investment reflects the growing role of preventive healthcare within emerging markets and the need for innovative approaches to reaching underserved populations.

“We aim to expand access to better everyday health for more than 300 million additional consumers in India. This will be key to achieving our broader ambition to reach one billion more consumers globally by 2030,” said McNamara.

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