HAL inks $1-billion deal with GE Aerospace for 113 jet engines to power Tejas fighters

Hindustan Aeronautics Limited (HAL) on Friday, November 7, 2025, signed a $1 billion deal with American defense giant GE Aerospace to supply 113 jet engines for the Tejas light combat aircraft program.

The tightening of the agreement comes despite a downturn in India-US relations after the Trump administration imposed a 50% tariff on Indian goods.

Officials said that within the scope of the agreement, the delivery of F404-GE-IN20 engines will start from 2027 and the supply should be completed by 2032.

It is learned that the size of the deal is close to $1 billion (approximately Rs. 8,870 crore). HAL said that it has reached an agreement with General Electric Company to purchase the engine and support package for the execution of the 97 Light Combat Aircraft Mk1A program.

The Ministry of Defense had in September finalized a ₹62,370-crore deal with HAL to supply 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 is designed for air defense, maritime reconnaissance and attack missions. HAL also uses GE F404-IN20 engines to power another LCA MK1A jet.

In February 2021, the Ministry of Defense had signed a deal worth Rs 48,000 crore with HAL for the purchase of 83 Tejas Mk-1A jets for the IAF.

There are delays in the delivery of the jets due to GE Aerospace missing some deadlines for the supply of aircraft engines that will power the jets.

The IAF is considering deploying fighter jets as the number of fighter jets has fallen from the officially sanctioned 42 to 31.