Russia Offers Local Production of Commercial Jets if India Agrees to Buy 200

As India's aviation sector experiences rapid growth, Russia has presented a compelling proposition to manufacture its commercial aircraft, the MC-21 and Il-114-300, locally within the country.

This comes as major Western manufacturers, Airbus and Boeing, have yet to establish final assembly lines in India, despite Indian Airlines being a significant customer for both companies.

Russia's state-owned aerospace conglomerate, Rostec, has proposed various levels of industrial cooperation, ranging from establishing maintenance and service centers to full-fledged assembly lines. The latter would require a substantial order of around 200 aircraft to be economically feasible.

This move by Russia could be seen as strategic, capitalizing on the burgeoning Indian aviation market and the hesitancy of Western companies to commit to local manufacturing.

While Indian Airlines has not yet purchased the MC-21 or Il-114-300, the potential for future orders and the broader need for domestically produced aircraft is clear.

Benefits and Challenges for India​

Local production of Russian aircraft would bring several advantages to India. It could lead to increased self-reliance in the aviation sector, with improved control over maintenance, parts availability, and potential technology transfer. This aligns with India's broader goals of developing its domestic aerospace industry.

However, entering into such an agreement with Russia could also strain India's relationship with Airbus and Boeing, potentially hindering future collaborations and technology sharing with these companies. Balancing the benefits of local production with maintaining strategic partnerships will be a key challenge for India.

Additional Considerations​

Rostec's proposal includes the establishment of training centers for Indian personnel to operate and maintain the Russian aircraft, further solidifying the potential partnership.

Additionally, the Il-114-300 is a turboprop aircraft, which could be particularly well-suited for regional connectivity within India, a key focus area for the government.

The decision to pursue local production of Russian aircraft would represent a significant shift in India's aviation landscape. As the country continues to grow as a major aviation hub, the choices it makes regarding manufacturing partnerships will have long-term implications for its aerospace industry and international relationships.