Amid tariff row, India likely to sign $1 billion deal with US firm to procure engines for Tejas aircraft: Report
India is all set to sign a $1 billion deal with US firm GE for the supply of 113 more GE-404 engines for the Light Combat Aircraft Tejas amid the Donald Trump tariff row, media reports said.
The negotiations are well underway, and the deal is expected to be sealed by September, ANI reported, quoting unnamed sources.
The US firm is expected to supply two engines every month from now to fulfil its commitment, said reports.
The deal is the second with the Donald Trump government. A Rs. 62,000 crore deal to buy 97 more LCA Mark 1A fighter aircraft was the first.
"The state-owned firm Hindustan Aeronautics Limited has inked the deal for 99 GE-404 engines with GE for the initial 83 LCA Mark 1A fighter jets ordered by the Indian Air Force. The new deal is about another 113," NDTV reported.
The deal is expected to help HAL tick its shopping list of 212 GE-404 engines in continuity and avoid any delay on the supply side.
India needs 200 GE-414 engines for its LCA Mark 2 and Advanced Medium Combat Aircraft.
HAL is expected to supply the first 83 aircraft by the end of 2029-30, then a batch of 97 LCA Mark 1As by 2033-34.
The state-owned firm is also negotiating a deal with GE for its GE-414 engines with 80 per cent transfer of technology.
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