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Hindustan Aeronautics Limited (HAL) on Friday (November 7, 2025) sealed a $1-billion deal with American defence major GE Aerospace to procure 113 jet engines for its Tejas light combat aircraft programme.
The firming up of the deal came notwithstanding a downturn in India-U.S. relations after the Trump administration slapped a 50% tariff on Indian goods.
Under the deal, the delivery of the F404-GE-IN20 engines will begin from 2027 and the supplies will have to be completed by 2032, officials said.
The size of the deal is learnt to be close to $1 billion (approximately ₹8,870 crore). HAL said it has entered into an agreement with General Electric Company to acquire the engines and support package for execution of 97 Light Combat Aircraft Mk1A programme.
The Defence Ministry in September had finalised a ₹62,370-crore deal with the HAL to procure 97 Tejas MK-1A light combat aircraft for the Indian Air Force (IAF).
Tejas is a single-engine multi-role fighter aircraft capable of operating in high-threat air environments. It has been designed for air defence, maritime reconnaissance and strike roles. HAL is also using GE F404-IN20 engines to power another lot of LCA MK1A jets.
In February 2021, the Defence Ministry had inked a ₹48,000-crore deal with HAL for the procurement of 83 Tejas Mk-1A jets for IAF.
The delivery of the jets is facing delays primarily due to GE Aerospace missing several deadlines for supply of its aero engines to power the jets.
IAF is looking at inducting the warplanes as the number of its fighter squadrons has gone down to 31 from officially sanctioned strength of 42.
English (US) ·