Home / Business and Economy / India Inks $7 Billion Deal for 97 Cutting-Edge Indigenous Fighter Jets
India Inks $7 Billion Deal for 97 Cutting-Edge Indigenous Fighter Jets
26 Sep, 2025
Summary
- India orders 97 LCA Mk1A fighters, including 68 jets and 29 trainers
- Delivery to start in 2027-28, boosting IAF's fighter strength to 180
- Aircraft to have over 64% indigenous content, supporting 11,750 jobs
On September 26, 2025, the Indian government announced a landmark $7 billion deal with state-owned aerospace giant Hindustan Aeronautics Ltd (HAL) for the procurement of 97 indigenous Light Combat Aircraft (LCA) Mk1A fighters. The order, which includes 68 single-seat jets and 29 twin-seat trainers, will significantly boost the Indian Air Force's (IAF) fighter squadron strength, taking the total LCA fleet to 180 aircraft.
The first deliveries of the new LCA Mk1A fighters are expected to commence in 2027-28, with the entire order to be completed over the following six years. Compared to previous versions, the latest LCA model will feature an increased indigenous content of over 64%, supported by a robust vendor base of 105 Indian companies. The production of these aircraft is projected to generate close to 11,750 direct and indirect jobs annually during the contract period.
The LCA Mk1A will be a major upgrade from the earlier variants, equipped with advanced radar, electronic warfare systems, and mid-air refueling capabilities. This will significantly enhance the IAF's operational capabilities as it grapples with a dwindling fighter squadron strength, which has reached its lowest level since 1965. The next-generation LCA Mk2, powered by the GE 414 engine, is also under development and expected to be ready for serial production by 2027.
