India is making big moves in the aerospace industry! Leading global companies like Airbus, Collins Aerospace, Pratt & Whitney, and Rolls-Royce are increasingly sourcing parts from Indian manufacturers. This shift is driving massive growth in India's aerospace sector and pushing local companies to up their game.
Indian Companies Are Soaring High
Bengaluru-based companies like Hical Technologies and JJG Aero are among those benefiting from this boom. Hical, which supplies aerospace parts to major players like Raytheon Technologies and Boeing, plans to double its aerospace division revenue to ₹5 billion (about $57.57 million) in just three years. JJG Aero, another Bengaluru-based firm, took 12 years to reach $2 million in revenue but skyrocketed to $20 million in just the last six years.
A Growing Global Demand
The aerospace industry in the Asia-Pacific region is experiencing an incredible surge, with revenues projected to be 54% higher in 2024 than in 2019. Meanwhile, North America and Europe are still struggling to reach pre-pandemic levels. This presents a golden opportunity for India to establish itself as a major global supplier of aerospace components.
According to JJG Aero’s CEO, Anuj Jhunjhunwala, the situation has completely changed. Previously, Indian companies had to chase global clients, but now, international firms are actively seeking partnerships with Indian suppliers. Contracts are being signed faster, and onboarding processes have been significantly streamlined.
Why Global Companies Are Looking to India
One of the biggest reasons global aviation giants are turning to India is the ongoing supply chain challenges in Western countries. Factors like strikes, production limits, labor shortages, and pandemic-related disruptions have slowed down manufacturing in traditional markets. As a result, companies like Rolls-Royce are betting big on India.
Huw Morgan, Rolls-Royce’s Senior Vice President for Aerospace Procurement, recently stated that India is the best solution to supply chain problems. The British company plans to double its sourcing from India within the next five years.
India’s Aircraft Market is Booming
India is already the world’s third-largest domestic aviation market, and it’s growing rapidly. Massive aircraft orders from airlines like IndiGo and Air India are fueling a surge in demand for maintenance services and aerospace parts. Indian companies are no longer just manufacturing basic components; they are now stepping into higher-value areas like design, engineering, and system integration.
Airbus has recognized this potential and has awarded two major aircraft door contracts to Indian suppliers within a year. Currently, India contributes over €1 billion to Airbus’s global supply chain, and this number is expected to double in the coming years. In fact, every Airbus commercial aircraft today has at least some components made in India!
What’s Next for India’s Aerospace Industry?
India’s civil aviation ministry recently met with industry leaders to discuss strategies for boosting local aerospace manufacturing. A key focus is sourcing raw materials like aluminum, steel, and titanium within India, which would allow companies to move further up the value chain.
The Aerospace India Association (AIA) predicts that India will capture 10% of the global aerospace supply chain market within the next decade. Given that the global aerospace industry is expected to reach $250 billion annually by 2033, this means a massive opportunity for Indian manufacturers.
Final Thoughts
While India faced initial challenges—such as its geographical distance from major aviation hubs and slow approval processes—the ecosystem is now fully set up for success. With strong government support, increased investment from global giants, and a growing domestic aviation market, India is poised to become a key player in the global aerospace industry.
The sky is no longer the limit for India—it’s just the beginning!
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