Health monitoring of automated manual transmission (AMT) in modern vehicles can play a critical role to avoid its malfunctions and ensure vehicle functional safety. In order to meet this demand, this paper presents a model-based fault detection and identification (FDI) scheme for AMT. After developing the fault model of AMT, structural analysis (SA)-based fault detectability and isolability is realized with the available set of sensors, prior to design and development of residuals. The residuals are generated by employing the theory of SA, where the concepts of analytical redundant relationship (ARR) are utilized to make residuals stable and robust. Finally, the proposed FDI scheme is successfully evaluated to detect and isolate the sensor faults in EcoCAR2 AMT.