New Delhi, Aug. 18 -- A toy factory floor on the outskirts of Bengaluru is alive with motion and noise. Long rows of assembly lines hum steadily, carrying half-finished cars, dolls, and animal figurines from one station to the next. Workers in safety vests and blue, maroon, and black uniforms move quickly but with practiced rhythm.

Some workers spray plastic toy parts in various colours to meet stringent client requirements, while their colleagues fix wheels to trucks. Mountains of cartons are stacked at the edge of the factory floor, ready to be shipped to American buyers ahead of the holiday season. With Thanksgiving and Christmas around the corner, the third quarter is the busiest time of the year.

The sense of urgency and excitement...