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Finance Ministry Flags AI and Supply Chain Risks, Calls for Faster Policy Action

Finance Ministry Flags Supply Chain Risks

Supply Chain Resilience

News: India’s Finance Ministry has flagged AI disruption and the weaponisation of supply chains as risks to the country’s resilience.

Its economic review stressed that faster policy execution, predictable implementation and industrial buffers are essential to attract investment and protect growth amid geopolitical and technological uncertainty.

 

The ministry highlighted semiconductors, critical minerals, coal gasification and shipbuilding as strategic areas for strengthening domestic manufacturing and reducing vulnerabilities. It also backed regulatory reforms and emerging sectors such as commercial space and hydrogen mobility.

With industrial metals and rare earth prices remaining firm, the review called for buffers in energy and critical inputs. The message is clear: supply chain resilience must become central to India’s industrial strategy as global disruptions and AI reshape competitiveness.