Rolls-Royce Unveils Ambitious Strategy to Make India a Key ‘Home Market’

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Rolls-Royce Aircraft Engine.

Rolls-Royce Aircraft Engine.

Rolls-Royce India News: New Delhi: Rolls-Royce has outlined an ambitious long-term strategy to position India as its third “home market,” alongside the UK, the US and Germany, underscoring the country’s growing importance in the global aerospace, defence and advanced engineering landscape.

The plan, revealed by Sashi Mukundan, Executive Vice President of Rolls-Royce India, reflects a significant expansion of the company’s commitment to India across jet engines, naval propulsion, land systems and high-end engineering capabilities. Mukundan said the strategy will be backed by major investments aimed at deepening Rolls-Royce’s industrial and technological footprint in the country.

According to the company, India offers a unique combination of scale, policy clarity and a rapidly expanding defence-industrial ecosystem. A central pillar of Rolls-Royce’s India vision is the development of a next-generation aero engine to power India’s Advanced Medium Combat Aircraft (AMCA), a flagship programme aligned with New Delhi’s push for indigenous defence production.

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Discussions around the AMCA engine are progressing, with Rolls-Royce positioning itself as a key contender. Mukundan said the company’s proposal would involve carrying out engine design work in India, alongside technology transfer and joint ownership of newly developed intellectual property. Such an approach, he noted, would give India long-term strategic control over critical technologies while enabling the systematic development of manufacturing capabilities.

Rolls-Royce plans to further strengthen its presence in India’s land systems sector by finalising two Memoranda of Understanding with Indian defence public sector undertakings. One MoU focuses on manufacturing engines for the Arjun main battle tank, while the other targets power solutions for future-ready combat vehicles, signalling a broad-based commitment beyond aviation.

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The company’s leadership has repeatedly highlighted India’s strategic importance. In October, Rolls-Royce CEO Tufan Erginbilgic conveyed to Prime Minister Narendra Modi that India would play a critical role in shaping the company’s future. Mukundan said the concept of India as a home market extends well beyond defence, encompassing manufacturing excellence, advanced engineering skills and technology development—areas that closely align with India’s national priorities.

Rolls-Royce is leveraging its global track record to support its India ambitions. The company has decades of experience designing, building and certifying engines for both combat and commercial applications, at times delivering new engine platforms every 18 months. Its portfolio includes the EJ200 engine powering the Eurofighter Typhoon, producing around 90 kilonewtons of thrust, and a leading role in the Global Combat Air Programme, a sixth-generation fighter initiative involving the UK, Japan and Italy. It has also collaborated with GE on the F136 engine for the F-35 fighter, reinforcing its credentials in advanced military propulsion.

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Beyond aerospace, Rolls-Royce sees major opportunities in India’s naval modernisation, particularly in electric and hybrid propulsion systems. These solutions are derived from marine gas turbines based on aero-engine cores, an area where the company has deep expertise in adapting aviation technology for maritime use.

Mukundan explained that developing an aero-engine core in India would create a shared supply chain serving both air and naval platforms, generating sufficient volumes to make such investments viable. In contrast, building a standalone marine propulsion ecosystem would be challenging due to the relatively limited scale of naval demand. Leveraging aero derivatives, he said, offers efficiency while significantly enhancing the Indian Navy’s combat capabilities.

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While Rolls-Royce has not disclosed specific investment figures, Mukundan indicated the scale would be substantial and highly visible. The emphasis, he said, is on long-term impact—building a complete value chain and industrial ecosystem across air, land and sea domains. He also praised the Indian government’s strong and consistent focus on indigenous capabilities across defence sectors.

Looking ahead, Mukundan described India as an emerging global power with an increasing role in supporting the Global South. For Rolls-Royce, he said, India represents far more than a growth market. “All the elements align,” he noted, making the country not just important, but a strategic long-term home for the company’s global ambitions.

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