India-US jet engine deal likely during PM Modi's state visit
What's the story
The United States (US) is likely to sign a deal with India allowing American conglomerate General Electric Company (GE) to jointly produce engines for military aircraft in India, reports said. The pact is expected to be signed during Prime Minister Narendra Modi's official state visit to the US on June 22. However, the decision hasn't been made public so far.
Context
Why does this story matter?
The White House said in January that it had received an application to jointly produce the engines in India. The deal could help the US counteract China's growing dominance in the region as well as reduce India's dependence on Russia, the US's archenemy. India is reportedly the world's largest arms importer, and it relies on Russia for nearly half of its military supply.
HAL
HAL to produce GE engines domestically
The state-owned Hindustan Aeronautics Limited (HAL) earlier said that it planned to use GE's F414 afterburning turbofan engine on a second generation of light-combat aircraft. It added that discussions were underway regarding the production of the engines in India. HAL will produce the GE engines domestically as a licensed manufacturer. Reportedly, GE has offered to transfer some technology to HAL.
Details
HAL using lighter GE engines for 83 Tejas LAC
Additionally, HAL is using a lighter GE engine for manufacturing 83 Tejas light combat aircraft (LAC) for the Indian Air Force (IAF). Before inking the deal, the US Congress will have to be notified as Washington strictly controls the sale and share of its domestic military technology. Although India is capable of domestically manufacturing fighter jets, it doesn't have the technology to produce engines.
Plans
India plans to manufacture 350 fighter jets in two decades
In the next two decades, India plans to produce over 350 fighter jets for the IAF and the Indian Navy, which is likely to be powered by the F414 engine. During a visit to India in March this year, Secretary of the US Air Force Frank Kendall called GE's offer a "breakthrough," adding that he expected the deal to be finalized "very soon."