India will produce 99 F414 jet engines domestically under a co-production agreement between Ohio-based defence manufacturer General Electric (GE) Aerospace and Hindustan Aeronautics Limited (HAL). This marked the first such technology transfer deal between Indian and US defence firms. The engines will power the Tejas Mk2 fighter aircraft, strengthening India’s push for self-reliance in defence manufacturing.
The agreement comes days after GE delivered its sixth F404-IN20 engine for the Tejas Mk1A programme. The most complex phase of negotiations, covering the detailed transfer of technology for the advanced F414 engines, has now been completed, reports Bloomberg.
In a statement, Rita Flaherty, Vice President for Sales and Business Development (Defence and Systems) at GE Aerospace, said, “This is a landmark agreement that will enable India to acquire critical manufacturing expertise. We can count on one hand all the companies in the world that can do this kind of capability, and now we are bringing this to India, so India can do it for themselves.”
The Indian Air Force (IAF) has indicated a requirement of 120-130 Tejas Mk2 jets, which could expand the scope of the engine order, Bloomberg reports. The F414 engines will also power the first two squadrons of India’s upcoming Advanced Medium Combat Aircraft. The deal is seen as vital to rebuilding the IAF’s declining fighter squadron strength amid dual-front challenges from China and Pakistan, reports PTI.
Going forward, HAL will establish a new manufacturing facility in India with GE’s support, expected to be operational within two years. Commercial negotiations on pricing are set to follow, though rising global component costs may prolong discussions. GE has also signed an agreement with the IAF to set up a depot facility for F404 engines, ensuring long-term support and maintenance.
“This agreement marks a significant step forward in strengthening economic growth and advancing cooperation for both India and the US and expands the 40-year partnership between GE Aerospace and HAL,” the company said.
The deal has been in the works for three years, following commitments made during India-US defence talks in 2023. GE holds about 80% of the intellectual property for the F414 engine, with the remainder owned by US-based suppliers. The company has also expressed openness to collaborating with India on developing next-generation engines in the 120kN thrust category for future fighter platforms.
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