BENGALURU — In a major boost to India’s defense manufacturing ambitions, the Indian government has signed a landmark deal worth over $1 billion with U.S. aerospace giant General Electric (GE) to procure 113 jet engines for the indigenous Tejas Mark-1A fighter aircraft. The agreement, finalized this week, marks a decisive step toward accelerating the Indian Air Force’s (IAF) modernization efforts and bolstering its air combat readiness.
Under the deal, the GE-F404 engines will be supplied to Hindustan Aeronautics Limited (HAL), the state-run aerospace firm that designs and manufactures the Tejas fighter. Deliveries are scheduled between 2027 and 2032, supplementing an earlier order of 99 engines placed in 2021. HAL officials confirmed that the first batch of ten engines will arrive to support the initial phase of aircraft induction, with deliveries ramping up over subsequent years.
Expanding Production Capacity
The acquisition is expected to significantly enhance HAL’s production capacity for the Tejas Mark-1A. The company currently produces about a dozen aircraft annually, but the new engine deal is designed to sustain a long-term production goal of 24 to 30 jets per year. A third production line in Nashik is slated to become operational to meet this expanded target.
The Tejas program has faced periodic delays, primarily due to supply chain bottlenecks and engine shortages. With the new agreement, those constraints are expected to ease, ensuring a consistent production pipeline. “The move addresses earlier delays caused by engine shortages and paves the way for the IAF to boost its fleet amid regional security concerns,” the defense ministry said in a statement.
HAL has so far completed 11 Tejas Mark-1A fighters, four of which are already powered by the GE-F404 engines. The remaining aircraft are in various stages of assembly and testing at HAL’s Bengaluru facility. Certification trials for the first batch are progressing steadily, and officials expect to deliver the first ten fighters to the IAF by March next year.
Upgrades and Advanced Systems
Alongside the new engine supply, HAL is integrating a suite of advanced weapons and avionics into the Tejas Mark-1A to enhance its combat capabilities. These include the indigenous Astra beyond-visual-range missile, the ASRAAM short-range missile, and the Israeli-made Elta ELM-2052 multi-mode radar system. Together, these systems are expected to improve situational awareness and give the aircraft a technological edge in modern aerial warfare.
“The upgrades are designed to enhance combat capabilities and situational awareness, ensuring that the Mark-1A jets meet modern air combat requirements,” HAL said in a release. The integration of these systems aligns with India’s “Atmanirbhar Bharat” (self-reliant India) vision, which emphasizes domestic production and technology partnerships in the defense sector.
Strategic and Geopolitical Significance
The Tejas engine deal carries broader strategic implications beyond industrial growth. The IAF currently operates 29 fighter squadrons, far below its sanctioned strength of 42.5. The addition of more than 180 upgraded Tejas Mark-1A jets, powered by the new engines, will be crucial in narrowing this gap and strengthening India’s deterrence posture in a challenging regional environment.
Defense analysts note that India’s modernization drive comes amid heightened security concerns, with neighboring China and Pakistan fielding advanced aircraft and expanding their air fleets. The Tejas Mark-1A program, powered by reliable GE engines, represents India’s push to reduce dependence on imports while maintaining technological parity with regional adversaries.
Beyond immediate needs, the deal also signals long-term collaboration between HAL and GE. Negotiations are already underway for the co-production of the more powerful GE-F414 engines, which will power the next-generation Tejas Mark-2 fighter. This move could establish deeper industrial cooperation and facilitate technology transfer, reinforcing India’s ambition to develop and produce world-class combat aircraft domestically.
Toward a Self-Reliant Future
For India’s defense aviation sector, the $1 billion agreement represents both a manufacturing milestone and a strategic investment. The deal ensures that HAL’s production lines remain active and capable of meeting the IAF’s modernization goals while promoting indigenous capability in aerospace engineering.
With firm delivery schedules and increased production capacity, the IAF is poised to strengthen its air power over the coming decade. The Tejas program—once plagued by delays—now stands at the forefront of India’s quest for self-reliance in defense manufacturing.
As deliveries begin and production scales up, the partnership between HAL and GE is set to play a pivotal role in shaping India’s air combat capabilities and ensuring that the nation’s fighter fleet remains modern, agile, and strategically robust.
