The initiative outlines how government will work with industry, universities and colleges to stimulate innovation, improve productivity and increase investment to improve global competitiveness.
Manufacturing industries represent over half of Scotland's international exports and investment in research and development, employing nearly 190,000 people.
A manufacturing innovation hub, named The Centre of Excellence for Manufacturing, is being backed by the investment, and is designed to help manufacturers innovate, recycle and expand.
Sturgeon said: "While manufacturing has undergone a significant transformation in recent decades, with increased globalisation and greater use of digital technology, it remains a high skills and high wage sector, with earnings that are above the Scottish average.
"Our programme for government committed us to further action and backed by £70m of new circular economy funding, the action plan outlines how the Scottish Government, our enterprise agencies and Zero Waste Scotland will work with industry and higher and further education institutions to stimulate innovation, productivity and investment.
"Amongst the key actions in the strategy will be the establishment of a Centre of Excellence for Manufacturing which will act as a hub for continuous innovation to ensure Scotland remains a sustainable and competitive place to do business."
A Scottish Manufacturing Advisory Service to conduct capital asset reviews and a new service to help embed workplace and employee practices that drive innovation will also be introduced.