L&T Expands into Space as India Boosts Private Rocket Industry

Larsen & Toubro (L&T), a major Indian industrial group, is expanding its presence in the space sector. The company aims to manufacture satellites and launch vehicles as India reduces dependence on imports and encourages private investment in space exploration.

Leading in Defense and Aerospace

L&T is India’s largest private defense manufacturer by revenue. Its Precision Engineering and Systems unit earned ₹46.10 billion ($548.3 million) in FY24, marking a 41% increase from the previous year. The company is leveraging its expertise in high-tech manufacturing to scale up aerospace production.

Building India’s First Private PSLV

At its facility in Coimbatore, Tamil Nadu, L&T is working with Hindustan Aeronautics Limited (HAL) to build India’s first privately manufactured Polar Satellite Launch Vehicle (PSLV). This rocket is a key part of ISRO’s space missions. Additionally, L&T is producing equipment for deep-space exploration programs.

India’s Growing Space Sector

India’s space industry is currently valued at $13 billion, with the government aiming to increase it to $44 billion in the next decade. Global demand for satellite launches is also expected to reach $160 billion. L&T sees this as an opportunity to compete internationally.

Private Participation and Future Plans

The Indian government has introduced policies that allow private companies to design, build, and operate space missions. This move is expected to attract global players, similar to the commercial space boom in the US and Europe.

The first private PSLV launch, initially scheduled for early 2025, has been delayed but is expected by mid-year. Each rocket costs about $30 million.

Competing in the Global Market

L&T plans to offer cost-effective and reliable launch services to meet the rising demand for satellite launches. With India’s growing role in the space sector, the company hopes to position itself as a key global player.

Conclusion

L&T’s entry into the space sector aligns with India’s push for private participation and global competitiveness. By leveraging its expertise, the company aims to play a key role in making India a major space power.

Larsen & Toubro share price is trading at ₹3,245.05, down 0.46% (-₹14.85) as of March 7, 3:12 PM IST. The stock opened at ₹3,259.90, reaching a high of ₹3,289.00 and a low of ₹3,240.10. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/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 the securities market are subject to market risks, read all the related documents carefully before investing.