The two prime ministers inaugurated the Tata Aircraft Complex in Vadodara, boosting India’s defence sector with the Airbus-Tata partnership producing C-295 planes.
Indian Prime Minister Narendra Modi and his Spanish counterpart Pedro Sanchez inaugurated India’s first private military aircraft plant in Vadodara in an effort to boost the Asian country’s defence and aerospace manufacturing.
The two leaders were in the Indian state of Gujarat to launch the Tata Aircraft Complex, which will manufacture Airbus C-295 transport planes for the Indian Air Force in partnership with Airbus Spain.
Sanchez, greeted by the country’s cheering crowds, said the project was a triumph of Modi’s vision “to turn India into an industrial powerhouse and a magnet for investment and business-to-business collaboration.”
“This partnership between Airbus and Tata will contribute to the progress of the Indian aerospace industry and will open new doors for the arrival of other European companies,” he added.
“This new aircraft factory will boost new skills and new industries in India,” Modi said, adding that the country was now supplying parts to the world’s leading aircraft companies.
Tata Group Chairman Natarajan Chandrasekaran called it a historic day, crediting the late Ratan Tata for coming up with the idea over a decade ago.
The €2.3 billion deal with Airbus, signed in 2021, involves delivering 16 aircraft from Spain, six of which have been delivered to the Indian Air Force so far. Tata will produce 40 more in Vadodara, with India’s first C-295 expected in 2026.
Since taking office in 2014, Modi has aimed to make India a global manufacturing hub, promoting private defence production and easing foreign investment rules. This plant reflects his vision to modernise India’s defence sector.
Sanchez’s visit is the first by a Spanish leader to India in 18 years. During the trip, he and Modi will discuss bilateral relations and sign agreements in trade, IT, renewable energy, and defence. Sanchez is also set to visit Mumbai to meet business leaders and explore partnerships in film production.
India-Spain trade reached nearly €9.2 billion in 2023, with over 200 Spanish companies operating in India and around 80 Indian firms in Spain.
