Propulsion Sovereignty: Rolls-Royce Unveils $1.2B Roadmap for India’s AMCA Program
- Editor
- February 13, 2026
- Automobile, Business, Business Trends
- Automobile, business posts, Defence
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NEW DELHI — In a move that fundamentally alters the trajectory of India’s aerospace self-reliance, British defense giant Rolls-Royce has announced a landmark $1.2 billion investment to manufacture next-generation jet engines on Indian soil.
The announcement, following high-level discussions between Prime Minister Narendra Modi and Rolls-Royce CEO Tufan Erginbilgic, marks a decisive shift in India-UK strategic relations. Under this new roadmap, Rolls-Royce intends to treat India as its third “home market” outside the UK, alongside the US and Germany.+1
Breaking the “Glass Ceiling” of Technology Transfer
Historically, jet engine “core” technology has been the most closely guarded secret of global powers—often more protected than nuclear secrets. Rolls-Royce’s commitment includes:
- Full Technology Transfer: Unlike previous “licensed production” deals where India simply assembled parts, this agreement offers a full transfer of high-tech manufacturing processes.
- Joint IP Ownership: For the first time, India will hold Intellectual Property (IP) rights over a 120 kN class combat jet engine core.
- Sovereign Propulsion: This addresses the single largest hurdle in India’s Advanced Medium Combat Aircraft (AMCA) program. By owning the IP, India eliminates the risk of future international sanctions grounding its fifth-generation stealth fighter fleet.
Economic & Tactical Impact: From Importer to Hub
This isn’t just an assembly line; it is a structural shift in India’s industrial DNA.
- The Workforce Surge: The investment is expected to more than double the Rolls-Royce-supported workforce in India to approximately 10,000 people.
- Supply Chain Explosion: The company is targeting a 10-fold increase in local sourcing, creating a massive trickle-down effect for Indian Small and Medium Enterprises (SMEs) specializing in precision machining and advanced materials.
- Strategic Hub: By localizing the production of high-performance engines, India moves from being a top global importer to a potential global hub for aerospace maintenance, repair, and overhaul (MRO) and export, aligning perfectly with the “Aatmanirbhar Bharat” (Self-Reliant India) and “Viksit Bharat” visions
