Defense Business and Industry

India Becomes Third-Largest Military Power; Defense Exports to Exceed Rs 30,000 Crore

India has emerged as the world’s third-largest military power in 2025, as per the Lowy Institute’s Asia Power Index, trailing only behind the United States and China. This achievement is largely attributed to Operation Sindoor, which showcased indigenous weapon systems and anti-drone capabilities. The Indian government aims to increase defense exports to Rs 30,000 crore by March 2026, with a long-term target of Rs 50,000 crore by 2029, reflecting a significant shift from being an importer to an exporter in the defense sector. The country’s defense production reached a record Rs 1.54 lakh crore in 2025, bolstered by the Aatmanirbhar Bharat initiative and extensive reforms aimed at fostering self-reliance and technological advancements in military capabilities.

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