The Indian government is considering a significant restructuring of Hindustan Aeronautics Limited (HAL) to enhance efficiency and address a staggering order backlog exceeding ₹2.7 lakh crore. This initiative follows a crucial deal for 97 Tejas Mk-1A fighters and aims to create specialized, independent units focused on fixed-wing aircraft, helicopters, and maintenance services. As HAL’s production capabilities face strain amid rising demands, the restructuring could improve delivery timelines and align with the Atmanirbhar Bharat initiative, emphasizing indigenous content. This move reflects a proactive approach to bolster India’s defense manufacturing capability, crucial for maintaining the Indian Air Force’s combat readiness against a backdrop of declining squadron strength.