Germany is making a strong push to supply its A400M Atlas military transport aircraft to the Indian Air Force (IAF), positioning the advanced platform as a key asset for India's strategic airlift needs.
The proposal was prominently featured during bilateral talks in New Delhi on September 3, 2025, between German Foreign Minister Johann Wadephul and India’s External Affairs Minister S. Jaishankar.
This offer signals a significant deepening of Indo-German defence ties and aims to build on the successful "Make in India" model established by the recent Airbus C-295M aircraft deal.
During his two-day visit, Foreign Minister Wadephul underscored the strategic rationale behind the offer, highlighting the A400M's capabilities in bolstering India's logistical strength, particularly in the challenging high-altitude terrains along the Line of Actual Control (LAC) with China.
He described the A400M as a "reliable, versatile platform" essential for enhancing the IAF's tactical and strategic mobility.
The discussions also spanned broader issues, including efforts to double bilateral trade, Indo-Pacific stability, and global security challenges, reflecting Germany's view that its partnership with New Delhi is "pivotal in defence and technology."
The A400M is a leading contender for India’s Medium Transport Aircraft (MTA) program, which seeks to procure 40 to 80 new aircraft.
This initiative, valued at over $10 billion, is critical for replacing the IAF's aging fleet of more than 100 Soviet-era Antonov An-32 and its operational Ilyushin Il-76 heavy transport aircraft.
The IAF requires a modern platform with a payload capacity between 18 and 30 tonnes to bridge the gap between its existing light and heavy airlifters.
The program places a strong emphasis on technology transfer and domestic manufacturing to boost India's indigenous defence industry.
Developed by Airbus Defence and Space, the four-engine A400M boasts technical specifications that its proponents argue are superior to its main competitors, the American C-130J Super Hercules and the Brazilian Embraer C-390 Millennium.
With a maximum payload of 37 tonnes, the A400M can carry nearly double the load of the C-130J and is capable of transporting heavy equipment like the Indian Army's new 25-tonne Zorawar light tank.
Its ability to operate from short and unpaved runways, combined with a high cruising speed of 780 km/h, makes it ideal for rapid deployment of troops and material across India's vast and diverse geography.
A key aspect of Germany's proposal is the potential to replicate the manufacturing arrangement of the C-295M aircraft.
In a landmark 2021 deal, India contracted for 56 C-295M planes, with 40 being built in India by Tata Advanced Systems Limited (TASL) at a new facility in Vadodara, Gujarat.
This project marked the first time a private Indian company would manufacture a complete military aircraft.
Airbus has expressed its readiness to establish a similar final assembly line for the A400M, potentially with TASL, if India places a substantial order of around 80 units, which could also open avenues for exporting the aircraft from India.
Minister Jaishankar welcomed the deepening defence cooperation, emphasizing the 25-year milestone of the Indo-German Strategic Partnership.
He noted that India looks to Germany for support in concluding the long-pending Free Trade Agreement (FTA) with the European Union and for collaboration on counter-terrorism efforts.
The high-level talks also covered Germany’s encouragement for India to use its diplomatic channels with Russia to help find a peaceful resolution to the conflict in Ukraine.
Despite its advanced capabilities, the A400M faces significant challenges, primarily its high procurement cost, estimated at around $220-250 million per unit, which is considerably more than its competitors.
Airbus contends that the aircraft's multi-role versatility and greater fuel efficiency result in lower long-term operational costs, offsetting the initial expense.
The IAF is expected to conduct user trials for the MTA program by 2026, with the goal of beginning inductions between 2030 and 2035 to systematically phase out its older transport fleets.