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Key Points

India is close to finalizing a $1 billion agreement with GE for 113 F404 engines to power its new LCA Mark 1A fighter jets. This deal ensures Hindustan Aeronautics Limited receives continuous engine supplies without delays for its production schedule. The engines will help power 97 new aircraft as India phases out its aging MiG-21 fleet over the coming years. This move significantly boosts India's indigenous defense capabilities while supporting small and medium enterprises across the country.

Key Points: India Signs $1 Billion GE Fighter Jet Engine Deal for LCA Mark 1A

  • Deal for 113 GE-404 engines to power 97 new LCA Mark 1A aircraft
  • Ensures continuous engine supply avoiding production delays for HAL
  • Part of India's plan to replace retiring MiG-21 fighter fleet
  • Supports indigenous defense manufacturing and small enterprises nationwide
2 min read

India likely to sign USD one billion fighter jet engine deal with American firm GE by September

India finalizes $1B deal with GE for 113 F404 engines to power 97 new LCA Mark 1A fighter jets, boosting indigenous defense production and replacing aging MiG-21s.

"The deal is likely to be finalised by September this year - Defence officials to ANI"

By Ajit Dubey, New Delhi, August 26

Soon after the Centre cleared a Rs 62,000 crore deal to buy 97 more LCA Mark 1A fighter aircraft, India is close to signing a deal of around USD one billion with the American firm GE for supplying 113 more GE-404 engines for the indigenous combat aircraft.

Indian state-owned firm Hindustan Aeronautics Limited has already inked a deal for 99 GE-404 engines with the American firm for the initial 83 LCA Mark 1A fighter jets ordered by the Indian Air Force and these 113 would be in addition to that.

The negotiations are almost finalised for buying 113 more GE-404 engines from the American firm GE for the 97 LCAs. The deal is likely to be finalised by September this year, defence officials told ANI.

The deal is expected to help HAL to get its complete requirement of 212 GE-404 engines in continuity, avoiding any types of delays in engine supplies.

The HAL is working to supply the first 83 aircraft by the end of 2029-30 and the next batch of 97 LCA Mark 1As by 2033-34, they said.

American GE is expected to supply two engines per month from now on to fulfill its commitment for the Indian programme.

The HAL is also negotiating a deal with GE for buying its GE-414 engines with 80 per cent transfer of technology.

The Indian side requires 200 GE-414 engines for its LCA Mark 2 and Advanced Medium Combat Aircraft (AMCA).

The around USD 1.5 billion deal is likely to be signed in the next few months, and negotiations for it have been going on for a long time now, the officials said.

The Indian side requires 162 engines for the LCA Mark 2 aircraft and 10 others for the five prototypes of the AMCA.

The programme will help the IAF to replace its fleet of MiG-21s, which are finally being phased out by the government in the next few weeks.

The indigenous fighter jet project is fully backed by the Defence Ministry, and Air Headquarters and is set to be a big boost for promoting indigenisation as well as give major business to the small and medium enterprises engaged in defence business across the country, defence officials said.

India is already working on an indigenous fighter aircraft engine project and will be working with the French firm Safran for it.

India aims to achieve self-reliance in the defence sector through indigenisation and is also acquiring technologies from various global sources.

- ANI

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Reader Comments

P
Priya S
While this is good for immediate needs, we must accelerate our own engine development program. Dependence on foreign engines isn't sustainable in the long run. The Safran collaboration should be prioritized.
R
Rohit P
Finally phasing out those aging MiG-21s! This deal will ensure HAL meets its production timelines. The 80% ToT for GE-414 is the real game-changer though 💪
M
Michael C
As someone working in aerospace, this is a significant step. GE engines are world-class and this continuity in supply will prevent production delays. Good for India-US defense cooperation too.
S
Shreya B
Hope this creates more jobs in Indian MSMEs. The defense indigenization push is showing results. But we need to see faster execution - 2029-30 for first delivery seems too far away!
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Vikram M
₹62,000 crore for 97 aircraft plus $1B for engines? The math seems off. Hope we're getting good value for money. Would like to see more transparency in defense procurement costs.

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