Geopolitical Realignments and Make in India: Manufacturing Strategy in a Fragmented Global Economy

The contemporary global economic order is undergoing a profound structural transformation, shifting from a model of hyper-globalization toward one defined by geoeconomic fragmentation sand security-centric industrial policies. This research paper examines the intersection of global geopolitical realignments and India’s strategic manufacturing initiative, "Make in India" (MII), within the context of the evolving 2024-2026 economic landscape. As multinational corporations (MNCs) and advanced economies aggressively pursue "China Plus One" and "friendshoring" strategies to mitigate risks associated with over-dependence on single-source geographies, India has positioned itself as a critical "connector" country and an alternative global manufacturing hub (IMF, 2024; Lachaux, 2025). Utilizing a comprehensive secondary research methodology and thematic analysis of over 100 policy and academic documents, this study evaluates India’s progress across high-growth sectors, including electronics, semiconductors, and defense (PIB, 2025; IBEF, 2025). The analysis integrates Global Production Network (GPN) 2.0 theory, the Resource-Based View (RBV), and Innovation Ecosystem theory to demonstrate how flagship interventions, such as the Production Linked Incentive (PLI) schemes and the National Manufacturing Mission (NMM), have facilitated a transition from low-value assembly to high-value component manufacturing (Scholars@Duke, 2025; Nayyar & Nayyar, 2024). Empirical data indicates that while global trade growth between geopolitically distant blocs has declined by 12%, India has leveraged its multi-aligned foreign policy to attract record foreign direct investment (FDI), reaching USD 81.04 billion in FY 2024-25 (IMF, 2024; PIB, 2025). The study identifies critical challenges, including logistics inefficiencies and the "execution gap" in the electric vehicle (EV) battery segment, while offering strategic recommendations to solidify India's path toward a USD 1 trillion manufacturing economy by 2026 (NITI Aayog, 2025).