HAL Signs $1 Billion Deal with GE Aerospace for Tejas Jet Engines
Hindustan Aeronautics Limited (HAL) has finalized a major $1 billion agreement with GE Aerospace to procure 113 F404-GE-IN20 jet engines for India’s Tejas light combat aircraft program.
Key Deal Details
- Value: $1 billion (approximately ₹8,870 crore)
- Engines: 113 F404-GE-IN20 engines
- Delivery Timeline: 2027 to 2032
- Includes: Engine supply and support package for LCA Mk-1A fleet
The deal represents a significant milestone for India’s indigenous fighter jet program and comes despite previous trade tensions between the US and India.
Recent Tejas Aircraft Procurement
Earlier in September, the defence ministry signed a ₹62,370 crore deal with HAL to procure 97 additional Tejas MK-1A aircraft for the Indian Air Force. This follows a previous February 2021 contract for 83 Tejas Mk-1A jets valued at ₹48,000 crore.
Tejas Fighter Capabilities
The Tejas is a single-engine multi-role fighter aircraft designed to operate in high-threat air environments. It can undertake air defence, maritime reconnaissance, and strike missions.
Delivery Challenges and IAF Requirements
GE Aerospace has previously missed multiple delivery deadlines for aero engines, causing delays in Tejas jet deliveries. The Indian Air Force urgently needs these warplanes as its fighter squadron strength has declined to 31 against the officially sanctioned strength of 42.
HAL Financial Performance
HAL’s share price has increased 11.07% year-to-date. The company is scheduled to release its Q2FY26 earnings results on November 12.



