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India Moves Forward with $1 Billion Fighter Jet Engine Deal with GE
Gyanhigyan english | August 27, 2025 12:39 PM CST

India's Fighter Jet Expansion

The Indian government has given the green light for the acquisition of 97 additional LCA Mark 1A fighter jets, amounting to Rs 62,000 crore. In a related development, India is nearing an agreement with the American company GE for the supply of 113 additional GE-404 engines, valued at approximately $1 billion, for these indigenous jets.


Hindustan Aeronautics Limited (HAL), a state-owned enterprise, has already secured a contract for 99 GE-404 engines intended for 83 LCA Mark 1A jets. The new order for 113 engines will supplement this existing agreement.


Discussions are in the final stages for the procurement of these 113 GE-404 engines, with a deal expected to be finalized by September, according to defense officials. This arrangement aims to ensure HAL receives a total of 212 GE-404 engines without delays in supply.


HAL plans to deliver the first batch of 83 aircraft by the end of 2029-30, followed by the additional 97 LCA Mark 1As by 2033-34. GE is anticipated to provide two engines monthly to meet its obligations for the Indian program. Furthermore, HAL is in talks with GE regarding the acquisition of GE-414 engines, which will include an 80% transfer of technology.


India requires 200 GE-414 engines for its LCA Mark 2 and Advanced Medium Combat Aircraft (AMCA). This deal, estimated at around $1.5 billion, is expected to be finalized in the coming months, with ongoing negotiations. The Indian Air Force (IAF) needs 162 engines for the LCA Mark 2 and 10 for the five AMCA prototypes, which will aid in replacing the aging MiG-21 fleet, set to be retired soon.


The indigenous fighter jet initiative is strongly supported by the Defence Ministry and Air Headquarters, aiming to enhance self-reliance in defense manufacturing while providing significant opportunities for small and medium enterprises in the defense sector. Additionally, India is collaborating with the French firm Safran on an indigenous fighter aircraft engine project, furthering its goal of achieving self-sufficiency in defense technology.



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