India Fast-Tracks LCA Mark 2 Aircraft Engine Deal with US

Hindustan Aeronautics Limited is expediting its engine contract for the LCA Mark 2 aircraft in collaboration with General Electric. The negotiations, focusing on the GE-F414-INS6 engines, are expected to conclude by March 2025. Key agreements and transfers of technology have been discussed to boost indigenous production.

Hindustan Aeronautics Limited (HAL) is advancing rapidly in its quest to secure engines for the LCA Mark 2 fighter aircraft. Negotiations with American-based General Electric over the GE-F414-INS6 engines, vital to the project, have reached an ambitious stage, with both sides aiming to sign the deal by March 2025.

In recent months, high-level visits and discussions have occurred, underscoring the mutual commitment to conclude the deal swiftly. Sources disclosed that HAL and General Electric had previously inked a Memorandum of Understanding (MoU) in June 2023, setting the groundwork for engine production in India.

The MoU outlines a robust framework for collaboration, ensuring that about 80% of the engine's value is produced locally under a significant technology transfer clause, an upgrade from previous agreements. As talks continue, HAL has established a Contract Negotiation Committee, laying out a detailed phase-wise negotiation strategy to finalize terms such as technical documentation, pricing, and delivery schedules.

(With inputs from agencies.)