In a landmark deal General Electric (GE) Aerospace signed a Memorandum of Understanding (MoU) with Hindustan Aeronautics Limited (HAL) on 15th June, 2023 to produce fighter jet “F414 engines for the Indian Air Force.
Key points
- The deal was signed between the world’s leading aircraft engine maker to produce fighter jet engines in the country for the Tejas light combat aircraft Mk2.
- It will involve 80% transfer of technology (ToT) from the US to India.
- The deal is estimated to be worth around $ 1 billion, and will result in the new fighter jet having an indigenous content of around 75%.
- The ToT will cover 11 critical areas many of which were entirely off-limits more than a decade ago, when GE Aerospace and India’s Aeronautical Development Agency (ADA) began talks on the possible production of the engines in the country.
- The production of jet engines in the country will help increase the indigenous content in the LCA Mk2, which will form an important element of the Indian Air Force’s future combat capabilities as India is planning to build around 130 such fighter jets.
