As South Africa prepares to host the G20 Summit in November 2025, groundbreaking lessons from India’s transformation were presented to the G20 presidency through the B20’s Industrial Transformation and Innovation Task Force – with urgent implications for developing and emerging economies across the G20 and beyond.
The B20 Task Force, chaired by Toyota South Africa CEO Andrew Kirby, highlighted three key focus areas as the foundation for industrial renewal: enabling industrial growth through innovation, deepening value chain capabilities, and embracing sustainable technologies that drive economic transformation.
From industrial challenge to economic opportunity
India’s experience demonstrates how strategic policy frameworks can transform entire industrial sectors while creating substantial economic opportunities. By financial year 2023-24, India achieved remarkable industrial transformation: electric vehicle sales soared past 1,5 million units. Even accounting for population differences, this represents a massive gap in industrial development and market creation.
“Each country must develop their strategy on the transition to zero emission vehicles,” explains Hiten Parmar, executive director of The Electric Mission. “India’s experience shows us exactly how a country with a strong automotive industry can make this transition work for industrial development and economic growth.”
Strategic industrial policy framework
India’s transformation wasn’t achieved through subsidies alone, but through comprehensive industrial policy that created predictable, long-term frameworks giving manufacturers clarity for strategic planning and investment decisions.
The setting of technical standards for the industry, specifically fuel efficiency standards, set fleet- wide performance benchmarks, encouraging manufacturers to choose their innovation pathway – whether through improved conventional technology, or accelerated electric vehicle development – while contributing to national industrial objectives.
This dual pathway approach allowed the automotive sector to continue developing existing capabilities while simultaneously building new industrial competencies in emerging technologies.
Industrial transformation results
India’s strategic approach delivered measurable industrial transformation:
- Electric vehicle production capabilities expanded dramatically
- New employment opportunities emerged across the green technology value chain
- Reduced dependence on imported oil, saving billions in foreign currency
- Positioned the country as a manufacturing hub in the rapidly expanding global electric vehicle market
- Attracted major investments in clean technology manufacturing and assembly
Through complementary programs like Fame II, India invested strategically in industrial infrastructure and supply chain development, creating the conditions for sustained industrial growth.
Lessons for G20 and developing nations
“India’s experience demonstrates how well-targeted demand and supply incentives, and infrastructure investments, can increase the adoption of clean technologies and support national policy to accelerate low carbon industrial transformation,” says Parmar.
The timing of this B20 submission is particularly significant as powerful economic shocks and mega trends signal the emergence of a new industrial era. With slowing economic growth outlook, countries need to accelerate resilient and inclusive industrial development.
Strategic roadmap for industrial transformation
The B20’s Task Force recommendations highlight that developing and emerging economies can follow India's strategic approach by:
- Establishing predictable, long-term industrial policy frameworks that provide manufacturers with planning clarity
- Creating performance standards that drive innovation while allowing flexibility in technological pathways
- Investing strategically in industrial infrastructure to support new technology adoption
- Developing comprehensive incentive frameworks that support both demand creation and supply chain development
- Building industrial capabilities that position countries as leaders in emerging global markets
Critical opportunity for G20 leadership
With South Africa’s lead of the G20 presidency, the November Summit represents a critical opportunity for developing and emerging economies to commit to industrial transformation strategies that can deliver both economic growth and technological leadership.
The choice facing G20 nations is clear: embrace strategic industrial transformation that creates new economic opportunities and positions countries as leaders in emerging global markets, or risk being left behind in the new industrial era.
The B20 Industrial Transformation and Innovation Task Force submission demonstrates that with the right strategic approach, industrial transformation can deliver multiple economic dividends while building the foundation for sustained, inclusive growth.
