General Electric Co. has submitted techno-commercial bids for the fighter jet engine technology transfer deal with India, marking a significant step forward in the landmark agreement. The deal, estimated to be worth $1 billion, involves the manufacturing license agreement for producing GE414-INS6 engines in India under a technology transfer pact.
The Indian government is currently examining the bid submitted by GE. The agreement is in its final stages of approval and is expected to be signed within the next six months. The deal will enable India to manufacture 80% of the engine technology domestically, including crucial components like the hot end coating, crystal blades, and laser drilling technology.
The next stage of discussions with GE will focus on finalizing the size and scope of the technology transfer. Hindustan Aeronautics Ltd (HAL), the chosen manufacturer for the deal, has already identified land in Bengaluru for the new engine factory. The environmental and pollution clearances for the project are being processed, and the facility is expected to be operational within two years of signing the contract.
The initial order under the deal is for 99 engines, which will power the Mk2 variant of the Light Combat Aircraft (LCA) Tejas. The Indian Air Force has projected a demand for 120-130 Tejas Mk2 fighters, which could lead to an increase in the engine order size.
The GE414 engine is also likely to power the twin-engine deck-based fighters for the Indian Navy and the first two squadrons of the Advanced Multirole Combat Aircraft (AMCA).
In addition to the GE414 deal, negotiations have also begun with GE for supplying more GE404 engines to support an upcoming order for 97 LCA Mk1A aircraft.
