Modi government signing $1B fighter jet engine deal with GE
What's the story
The Indian government is on the verge of signing a nearly $1 billion deal with US aerospace giant General Electric (GE) next month for the supply of 113 GE-404 engines. The engines shall power the next batch of Light Combat Aircraft (LCA) Tejas Mark 1A. The development comes after the Centre approved a ₹62,000 crore procurement plan for 97 more LCA Mark 1A fighter jets.
Production timeline
Additional engines contracted for uninterrupted production
The 113 GE-404 engines will be in addition to a previous order of 99 engines, already contracted by Hindustan Aeronautics Ltd (HAL) for the first batch of 83 LCA Mark 1As. The total acquisition of 212 GE-404 engines is aimed at ensuring uninterrupted production and avoiding any delays in the indigenous fighter aircraft program. HAL plans to deliver the first batch of 83 aircraft by FY30 and the second by FY34.
Supply strategy
HAL talking with GE for 200 GE-414 engines
To meet the delivery schedule, GE is expected to ramp up engine supplies at a rate of two engines per month. HAL is also in advanced talks with GE for the procurement of 200 more powerful GE-414 engines. These will be used for the next-gen LCA Mark 2 and India's fifth-generation fighter project, the Advanced Medium Combat Aircraft (AMCA). The proposed $1.5 billion deal is likely to include an 80% transfer of technology.
Project support
Initiative expected to give boost to indigenization
The indigenous fighter jet project, which aims to replace the aging MiG-21 fleet, is fully supported by the Defense Ministry. The initiative is expected to give a boost to indigenization and provide business opportunities for small and medium enterprises in the defense sector across India.