India will open its first civilian military aircraft manufacturing facility on Monday, as the South Asian country ramps up domestic defense production to reduce dependence on imports.
The factory, a joint venture between Airbus SE and Tata Advanced Systems, will produce transport planes to replace the Indian military’s aging fleet. Spanish Prime Minister Pedro Sanchez, who is on a two-day visit to India, will inaugurate the facility along with Indian Prime Minister Narendra Modi in Modi’s home state of Gujarat.
The first aircraft is expected to be delivered in 2026 and the rest by August 2031, said Indian officials, who requested anonymity because the negotiations are private.
The manufacturing facility follows a 219 billion rupee ($2.6 billion) deal between India and Airbus for 56 C-295 transport aircraft three years ago. The statement said 16 of the aircraft were built in Spain and operated in India, with state-owned companies such as Bharat Electronics and Bharat Dynamics also contributing to the program.
The C-295 can carry up to nine metric tons, or 71 troops, and will replace the Indian Air Force’s aging Avro cargo aircraft introduced 60 years ago. The Indian military expects to build more of these planes to replace the Russian-made An-32 planes, which are nearing the end of their lifespan.
Domestic parts for Indian-made C-295s will increase from about half to three-quarters of the current level, they said.
An Indian Defense Ministry spokesperson declined to comment on details.
The move comes as India aims to reduce its dependence on foreign-made equipment, especially Russian-made equipment. Despite a decline in recent years, Moscow remains New Delhi’s largest arms supplier, according to the Stockholm International Peace Research Institute, an independent think tank that tracks the arms trade.
Additionally, Russia’s invasion of Ukraine has delayed arms supplies to India, impacting defense preparedness and making local production of weapons more urgent.
