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Economy News, Latest Economic News Today | The HinduBusinessLine

GE, HAL clinch tech deal on joint jet engine plan India rejects USTR allegations, seeks termination of Section 301 probe Indian automobile sales record highest-ever sales in FY26, first time after FY19: SIAM Madhya Pradesh CM says basmati rice from the State is exported to 47 nations 63 Moons’ cybersecurity arm pilots GPS-spoofing solution at Indian airports Highways ministry notifies amendment to streamline fee for overloaded vehicles on NHs Global aviation crisis deepens as fuel shortage, Iran conflict hit airlines TRI launches agri-voltaic project to help farmers earn double income Hotel industry to hit $31 billion in 2029; listed hotel firms set to add 70k rooms by 2030: CBRE Temperatures may trend up over North-West, Central India until weekend Reduction in airport tariff credit neutral, minimal impact on revenue: Ind-Ra Global coffee prices rise as fertiliser costs and West Asia tensions threaten supply Bluspring Enterprises to acquire LSG Sky Chefs India, enters aviation catering sector China says policy to improve relations with India remains unchanged amid Arunachal naming row Research firms divided over impact of below normal monsoon on food inflation Unnat Krishi Mahotsav concludes, farmers to emerge as energy, fuel & hydrogen providers, says Gadkari Airlines may get ₹5,000 crore credit support under proposed ECLGS variant How kashmir’s breakthrough is making Gucchi mushroom farming possible Centre not taking away State’s power on bonus for agri produces, says FM Sitharaman Carriers cut flights on cost pressures, uncertain demand GE Aerospace scales AI from pilots to production; India anchors global capability West Asia crisis may push India’s current account deficit to 2% of GDP: Crisil Tax Dept to resume Tiger Global reassessment, says GAAR relief won’t alter SC ruling Ceasefire talks fail to restore vessel movement in Strait of Hormuz, fate of 599 ships remain inconclusive DMRC launches mid-life refurbishment of Blue Line trains to enhance safety and passenger experience Retail inflation likely rose 3.5-4% in March India-UK free trade pact may come into force from second week of May: Official 'West Asia war a good opportunity for energy reforms, lower costs for industry' India’s marine exports surge to ₹62,408 crore in 2024-25, Govt sets ₹1 lakh crore target PM Modi to inaugurate Dehradun-Delhi Expressway on April 14
MoD issues RFPs to 3 bidders to shortlist AMCA production...
By Dalip Singh · 2026-05-27 · via Economy News, Latest Economic News Today | The HinduBusinessLine
A full-scale model of India's Advanced Medium Combat Aircraft aircraft, advanced stealth fighter jet

A full-scale model of India's Advanced Medium Combat Aircraft aircraft, advanced stealth fighter jet | Photo Credit: MURALI KUMAR K

Three days after businessline first reported, Ministry of Defence (MoD) on Wednesday issued Request for Proposal (RFP) to the three shortlisted consortium to roll out the process of manufacturing of five prototypes of fifth generation indigenous Advanced Medium Combat Aircraft (AMCA). 

The bidders are — Tata Advanced Systems Ltd (TASL), which is competing independently; a consortium led by Larsen & Toubro (L&T), State-owned Bharat Electronics Ltd (BEL), and Dynamatic Technologies Ltd; and another consortium of Bharat Forge, PSU BEML, and Data Patterns. Two bidders, who are part of the three consortium, confirmed to businessline that they have received the RFP but refused to share its content given the confidentiality involved in the first ever indigenous production outside the facility of Maharatna defence PSU, Hindustan Aeronautics Ltd, which has been the custodian of defence aerospace manufacturing in the country.

The bidders will have to respond to the RFP in three months after which a committee will open the bid for technical and commerical evaluation ahead of identifying the production partner, said sources. The MoD in February had shortlisted final three entries to eventually select the fifth generation fighter aircraft production partner after evaluating the technical bids submitted by seven initial competitors.

The core integration of the AMCA prototype and its flight testing will take place at the upcoming facility spread across 650 acres of land at Puttaparthi, Andhra Pradesh. AMCA has been indigenously designed and developed by Aeronautical Development Agency (ADA) — a lab of the Defence Research and Development Organisation (DRDO) — which will be the lead integrator of the project.

The DRDO aims to complete the development cycle of the AMCA by 2034 so that the induction can start from the following year.

The AMCA production is poised to trigger a monumental, structural shift in India’s aerospace and defence industry as it will open a second line of manufacturing in India. But for the engine, most of the other parts like frames, avionics and payloads — will be indigenous. The AMCA will be powered by the GE-414 engines which will be manufactured in India. Negotiations between HAL and GE are at an advanced stage for licenced production in India. In case India is able to manufacture indigenous engines, later batches of the fifth generation aircraft can be retrofitted with such engines.

Defence Minister Rajnath Singh approved the AMCA Programme Execution Model on May 27, 2025. The government is moving to fill a long standing demand of the Indian Air Force to fulfil its capacity deficiency. As against the required strength of 42 squadrons, IAF is down to 30.  

Published on May 27, 2026