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Rolls-Royce Considers India for Aircraft Engine Production Hub

Rolls-Royce Considers India as a Strategic Hub for Aircraft Engine Production
UK-based aerospace giant Rolls-Royce is exploring India as a potential third major home market, alongside its established bases in the United Kingdom, the United States, and Germany. In a recent interview with the Press Trust of India (PTI), Sashi Mukundan, Executive Vice President of Rolls-Royce India, outlined the company’s plans for substantial investment aimed at supporting India’s ambitions to develop and manufacture next-generation combat jet engines.
Expanding Footprint in India’s Defense Sector
Rolls-Royce already operates significant manufacturing facilities in the US and Germany, but India’s scale, policy clarity, and commitment to building a sophisticated defense and industrial ecosystem present a compelling opportunity. The company has been steadily deepening its engagement with India’s defense sector and is preparing to formalize partnerships through two memoranda of understanding (MoUs) with Indian defense public sector undertakings. One MoU will focus on producing engines for the Arjun tank, while the other will target propulsion systems for future combat vehicles under the Advanced Medium Combat Aircraft (AMCA) program.
The AMCA, envisioned as a fifth-generation, twin-engine multirole combat aircraft, is scheduled for production in the mid-2030s for deployment by both the Indian Air Force and Navy. The initial AMCA variant is expected to be powered by General Electric’s F414 INS6 engines. However, the more advanced AMCA Mk2 will require a next-generation engine boasting a thrust-to-weight ratio exceeding ten and wet thrust above 110 kilonewtons. India is actively seeking a foreign partner to collaborate on the design, development, and testing of this advanced engine, with Rolls-Royce, Safran, and GE Aerospace currently engaged in discussions.
Mukundan emphasized Rolls-Royce’s capabilities, stating, “If India is thinking about next-generation engines, Rolls-Royce is probably the best partner. We have the capability, we have the experience both in India and globally, and we have repeatedly demonstrated that we can do it.”
Challenges and Competitive Landscape
Establishing an aircraft engine production hub in India will not be without challenges. Rolls-Royce must navigate a complex regulatory environment, manage intricate supply chain logistics, and contend with established industry leaders such as General Electric and Pratt & Whitney. These competitors possess deep technological expertise and extensive global supply networks, and they are expected to intensify their efforts to secure market share as India’s defense sector expands.
Despite these obstacles, market sentiment regarding Rolls-Royce’s plans in India has been largely positive. The company’s stock has experienced a record-breaking rally, supported by strong cash flow and operational improvements. Expanding its presence in India would not only reinforce Rolls-Royce’s position in the military engine segment but also complement its longstanding leadership in commercial aviation, where it has powered airline fleets worldwide for decades.
Currently, Rolls-Royce leads the Global Combat Aircraft Programme, a UK-led initiative involving Japan and Italy to develop a sixth-generation combat aircraft engine. The company has a proven track record, powering platforms such as the Eurofighter Typhoon with its EJ200 engine and playing a key role in the F136 engine program for the F-35 Lightning II, developed in partnership with GE Aerospace.
As India accelerates its push for indigenous defense manufacturing, Rolls-Royce’s potential investment could represent a pivotal step in the country’s pursuit of self-reliance in advanced aerospace technology.

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