VADODARA, India (AP) – Indian Prime Minister Narendra Modi and Spanish Prime Minister Pedro Sánchez on Monday announced plans for New Delhi to commission India’s first civilian military aircraft factory and grow local manufacturing in the defense and aerospace industry. It supported my ambition.
Sanchez was welcomed with a roadshow in the Gujarat city of Vadodara, where hundreds of people cheered and waved banners.
The two leaders then inaugurated the Tata Aircraft Complex, a manufacturing hub that will work with Airbus Spain to produce Airbus C-295 military transport aircraft for the Indian Air Force.
Sanchez said the project is a victory for Prime Minister Modi’s vision to “turn India into an industrial powerhouse and a magnet for investment and business cooperation.”
“This partnership between Airbus and Tata will contribute to the advancement of the Indian aerospace industry and open new doors for the entry of other European companies,” he added.
Tata conglomerate chairman Natarajan Chandrasekaran hailed the day as a historic one for the country’s defense sector, saying that he came up with the idea more than a decade ago, a businessman who passed away earlier this month. He credited the achievement of former chairman, the late Ratan Tata.
Under the $2.5 billion contract signed in 2021, Airbus will deliver the first 16 aircraft from its final assembly line in Seville, Spain. Six of the aircraft have been delivered to the Indian Air Force so far.
Tata Advanced Systems will produce 40 of the aircraft at its Vadodara plant and plans to field the first Indian-made C-295 aircraft in 2026. This aircraft can transport up to 71 soldiers or 50 paratroopers to remote locations. It can also be used to support medical evacuations, disaster response, and maritime security missions.
Since coming to power in 2014, Mr. Modi has vowed to transform India into a global manufacturing hub for infrastructure, pharmaceuticals, defense and other industries. As part of the modernization and reform of military equipment, the government sought to grow the civil defense manufacturing sector, previously dominated only by government-run entities, and relaxed foreign direct investment regulations to encourage the establishment of companies. We are also in India.
This is the first visit by a Spanish leader to India in 18 years. PM Modi and Sanchez previously met during the 2018 and 2021 world summits. During his two-day visit, Sanchez will meet with Modi to review bilateral relations and also meet with Indian Foreign Minister Subrahmanyam Jaishankar.
Sanchez will visit Mumbai, India’s financial capital and home of Bollywood, on Tuesday, where he will interact with trade and industry leaders and also visit film studios in a bid to expand cooperation between the Indian and Spanish entertainment industries. It is expected that he will visit.
Bilateral trade between the two countries will reach nearly $10 billion in 2023. According to India’s Ministry of External Affairs, more than 200 Spanish companies are active in India, and there are about 80 Indian companies in Spain.
The two leaders will sign an agreement to further strengthen ties and cooperation in various areas including trade, information technology, renewable energy and defence, an Indian government statement said.
