Defense Business and Industry

HAL Advances F414 Engine Production in India Amid Tariff Issues

Hindustan Aeronautics Limited (HAL) is advancing its plans to produce General Electric’s F414-INS6 turbofan engines in India, despite U.S. tariff concerns, reinforcing India’s push for self-reliance in aerospace. The Manufacturing License Agreement (MLA) includes an 80% Transfer of Technology, critical for enhancing the Indian Air Force’s TEJAS MK-2 fighter jets, with production expected to begin by mid-2028. This deal, valued at around $1 billion, signifies a vital technology transfer and showcases the strong U.S.-India defense partnership, as it aims to bolster India’s defense capabilities amid regional geopolitical challenges, particularly against China. The strategic importance of this partnership is expected to withstand potential trade disruptions.

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