Overview

The UK‑India Free Trade Agreement entered into force on 15 July 2026, and Invest Manchester, the inward‑investment agency for Greater Manchester, is positioning the city as the premier UK destination for Asia‑Pacific manufacturers seeking entry to the UK and European markets. The agreement is expected to lift annual UK‑India bilateral trade by £25.5 billion by 2040, driven by tariff reductions on advanced machinery and other manufacturing‑related goods.

Manchester’s Manufacturing Strength

Manchester is described as the UK’s largest advanced manufacturing and engineering cluster, home to more than 8,000 companies and employing over 115,000 people. The city has attracted more international investment than any other UK regional city over the past decade and boasts the fastest‑growing economy in the country. Operating costs are up to 40 % lower than in London, and a labour pool of 7.3 million people lies within a one‑hour commute. The city produces roughly 14,000 STEM graduates each year, the largest pipeline among UK regional cities.

Trade and Investment Figures

Total UK‑India trade reached £47.9 billion in 2025, a 10 % increase over the previous year. Indian companies have invested more than £1 billion in North West England, supporting over 6,700 jobs, while Indian service exports to Manchester contribute £337 million annually to the local economy. Over 540,000 people of Indian origin reside across the North of England, reinforcing commercial and cultural links.

Existing APAC Investment in Manchester

Japanese firms have invested nearly £118 million in Manchester over the past 18 months, including major commitments from Astemo, Mizkan and Daikin, alongside established presences such as Hitachi, NGK and Shimadzu. Indian firms including Tech Mahindra and Hero Cycles have set up operations in the city, and Australian technology company SafetyCulture has chosen Manchester as its European headquarters.

Connectivity and Visitor Flows

Manchester Airport offers direct flights to major Asian hubs including Mumbai, Delhi, Singapore, Hong Kong, Beijing and Phuket, facilitating easy access for business travellers. India remains an increasingly important market for the UK, with more than 600,000 annual visits and a forecast of one million visitors by 2030.

Innovation Ecosystem and Infrastructure

More than £300 million has been invested in specialist research centres across Greater Manchester. The region hosts Europe’s largest school of materials and over 180 advanced‑materials companies. Key development projects include Atom Valley, a 17 million‑square‑foot advanced manufacturing district projected to create 20,000 high‑value jobs, and MIX Manchester, which provides over two million square feet of manufacturing and R&D space adjacent to the airport.

Engagement Activities

A senior Invest Manchester delegation will travel to India later this month to meet leading manufacturers, investors, industry associations and government stakeholders, aiming to deepen trade, investment and innovation partnerships. Across key APAC markets, Invest Manchester is represented by the International Advisory Council (IAC), which assists businesses in exploring and establishing operations in the region.

About Invest Manchester

Invest Manchester is the inward‑investment agency for Greater Manchester, tasked with promoting the city globally as a leading destination for investment and business growth. It showcases the region’s strengths across priority sectors and real estate, provides free hands‑on support to investors, developers and businesses of all sizes, and assists hundreds of companies each year in relocating, expanding, scaling and establishing a lasting presence.

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