Defense Business and Industry

HAL Chief: GoI Mandates 80% ToT in F414 Engine Negotiations

In September 2025, the Chief of Hindustan Aeronautics Limited (HAL) revealed that the Government of India is mandating an ambitious 80% Transfer of Technology (ToT) in the ongoing negotiations with GE Aerospace for the F414 engines, which are integral to India’s indigenous fighter programs such as the Tejas Mk 2 and Advanced Medium Combat Aircraft (AMCA). This mandate underscores India’s firm commitment to self-reliance in defense manufacturing. Six rounds of negotiation have already been completed, and a HAL team is scheduled to travel to the United States in October 2025 to finalize the terms regarding ToT and production timelines. The deal, valued at around $1 billion, includes transferring advanced manufacturing technologies like single-crystal turbine blades and thermal coatings, although core components like the compressor and combustion chamber remain outside the agreement. The expected outcome is local production beginning within three years, significantly boosting HAL’s manufacturing capabilities and reducing India’s dependence on foreign suppliers, thereby strengthening the national defense ecosystem in line with the Make in India and Atmanirbhar Bharat initiatives.

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