© Reuters. FILE PHOTO: A picture of the logo of US conglomerate General Electric at the site of the company’s energy subsidiary in Belfort, France, February 5, 2019. (REUTERS/Vincent Kessler/File Photo)
(Reuters) – General Electric The NYSE aerospace unit said on Thursday it had signed an agreement with India’s state-owned Hindustan Aeronautics Ltd to manufacture fighter jet engines for the Indian Air Force.
This development comes at a time when Indian Prime Minister Narendra Modi is on an official visit to the United States.
GE said the agreement includes potential co-production of F414 engines from GE Aerospace in India, and the engines will be used to power Tejas fighter jets.
Washington is deepening ties with the world’s largest democracy and sees deeper military and technological ties with India as a key counterweight to China’s dominance in the region.
Hindustan Aeronautics said earlier that it plans to use the engine in the second generation of light fighter jets and that it is in talks about local production of the engines.
Reuters reported in May that the Biden administration was ready to sign a deal that would allow General Electric to produce the jet engines that power India’s military aircraft.
GE began working with the Hindustan Aeronautics and Aviation Development Agency in 1986 to support the development of light combat aircraft in India with F404 engines.