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India and France to Join Hands on ₹61,000 Crore Fighter Engines Project

Written by: Team Angel OneUpdated on: 18 Jul 2025, 10:02 pm IST
India greenlights Safran’s ₹61,000 crore plan to co-develop 120kN fighter jet engines with full tech transfer for future combat aircraft.
India and France to Join Hands on ₹61,000 Crore Fighter Engines Project
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According to a report to The Economic Times, in a landmark move to strengthen indigenous defence manufacturing, India has recommended French company Safran for a ₹61,000 crore project to co-develop jet engines for next-generation combat aircraft, including the Advanced Medium Combat Aircraft (AMCA).

Safran Chosen for Strategic Jet Engine Partnership

The Ministry of Defence has finalised its recommendation to partner with France’s Safran for a ₹61,000 crore jet engine development initiative. The project will focus on creating a powerful 120kN thrust engine that will meet the needs of India’s upcoming fighter platforms. This collaboration is pivotal to enhancing India's self-reliance in critical defence technologies.

Indigenous Capability Build-Up

Safran's proposal stood out due to its commitment to full technology transfer. India's demanding requirements include transfer of critical manufacturing expertise such as single-crystal blade production, laser drilling, and hot-end components. This will help create a domestic ecosystem for engine production aligned with the AMCA development timeline.

Parallel Plans with AMCA and GE-414 Engines

The first AMCA squadrons are expected to use GE-414 engines sourced from the US. However, India is pursuing an indigenous solution alongside preparing the foundation for engine self-sufficiency in future fleet upgrades. Discussions with GE for enhanced access to the GE-414 INS6 engine technologies are ongoing.

Read More: Deepinder Goyal Backed LAT Aerospace acquires Bombardier Private Jet!

Rolls Royce Misses Out as Offer Falls Short

Although the UK’s Rolls-Royce was also in contention with a competitive offer, the Ministry found Safran’s proposal more aligned with India's long-term strategic goals and industrial development capabilities. The evaluation involved a thorough analysis by a high-level technical committee.

Post-Kaveri Strategy and Demand Forecast

After the limited success of the Kaveri engine, India is revisiting engine development with global partnerships. A modified Kaveri is now being developed for unmanned systems. India anticipates the need for over 250 next-gen engines in the coming decade, making this collaboration crucial for sustaining air power capabilities.

Conclusion

By choosing Safran for the ₹61,000 crore engine project, India is taking a decisive step toward aerospace self-reliance. The strategic collaboration will infuse vital technology and manufacturing know-how into India's defence ecosystem while supporting the ambitious AMCA programme.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.

Published on: Jul 18, 2025, 4:32 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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