It is the first time a private company will be responsible for the complete production cycle of military aircraft in India
In a landmark event underscoring India's strides in defence manufacturing, Prime Minister Narendra Modi and Spanish President Pedro Sanchez jointly inaugurated the Final Assembly Line Plant of C-295 aircraft co-produced by Airbus Spain and Tata Advanced Systems Ltd. at Vadodara on Monday (October 28, 2024). This facility will manufacture C-295 military transport aircraft, marking the first private sector Final Assembly Line (FAL) for military aircraft in India.

Prime Minister Modi lauded the project as a testament to the “new work culture of a New India,” emphasizing how the facility bolsters India's position as a trusted partner in global aerospace manufacturing. He further highlighted that the establishment of the Tata-Airbus complex in Vadodara represents a historic milestone, driving the mission of "Make in India, Make for the World."

Reflecting on President Sanchez’s first visit to India, PM Modi noted that this joint endeavor elevates the relationship between India and Spain to new heights. "This partnership is not only a significant milestone in defense manufacturing but also a step toward a stronger India-Spain alliance in aerospace," he remarked. Both leaders highlighted that the factory aligns with India's broader mission to become a global manufacturing hub, producing not only for domestic use but also for export.

Prime Minister Modi also paid tribute to Ratan Tata, the visionary leader whose contributions laid the foundation for the partnership with Airbus. Tata Sons Chairman N Chandrasekaran recounted how Ratan Tata’s foresight in 2012 catalyzed the alliance, ultimately making this joint manufacturing project a reality.

The C-295 complex in Vadodara is set to be a hub of innovation and technical prowess, fostering an entire ecosystem around aerospace production. The facility will manufacture 40 of the 56 C-295 aircraft contracted by the Indian Air Force (IAF), with the first "Made-in-India" C-295 expected to roll out by September 2026. The remaining 16 aircraft are being delivered directly from Airbus facilities in Spain; 6 of these have already been received by the Indian Air Force.

Defence Minister Rajnath Singh celebrated the complex’s inauguration as a milestone for Indian industry, noting that it is the first time a private company will be responsible for the complete production cycle of military aircraft in India. This project will encompass the manufacture, assembly, testing, qualification, and lifecycle management of the C-295 aircraft, which will replace the IAF's aging Avro-748 fleet.

PM Modi remarked on India's evolution as a defense manufacturer, emphasizing that it was previously unimaginable for the country to undertake such extensive military production projects. He praised recent reforms, such as opening defense manufacturing to private players, restructuring ordnance factories, and establishing defense corridors in Uttar Pradesh and Tamil Nadu, which have catalyzed India’s defense ecosystem.

“Strategic decisions have spurred the growth of a vibrant defense industry,” Modi stated. He also highlighted the successes of the Innovation for Defence Excellence (iDEX) scheme, which has enabled the rise of nearly 1,000 defense start-ups in the past five years. Moreover, India’s defense exports have surged, with the country now supplying defense equipment to over 100 nations.

This momentum extends to the civil aviation sector, which Modi anticipates will benefit from the new facility. With numerous Indian airlines placing orders for over 1,200 new aircraft, the TATA-Airbus complex in Vadodara is well-positioned to support future demands in both military and civil aviation.

A Boon for Local Industry and Employment
Vadodara’s industrial landscape, known for its strength in MSMEs, is expected to gain considerably from the C-295 complex. The city, which is already home to Gatishakti University and several major industries, will play a pivotal role in India's aerospace aspirations. The facility is projected to generate 600 direct skilled jobs and over 3,000 indirect jobs, alongside numerous opportunities for medium-skilled labor.

The project is expected to contribute over 4.25 million man-hours to India's aerospace and defense sectors, with Tata and Airbus working collaboratively to localize production. Approximately 13,000 out of 14,000 parts in each C-295 aircraft will be manufactured in India, fostering a robust supply chain.

C-295: A Modern Transport Aircraft
The C-295 is a next-generation transport aircraft with advanced avionics, ideal for tactical airlift operations. With a payload capacity of 9.5 tonnes, the aircraft is designed for diverse missions and can operate in challenging environments, from desert terrains to maritime conditions. The C-295 can carry up to 71 troops or 50 paratroopers and has a rear ramp door for quick deployment.

All C-295 aircraft in this contract will be fitted with an indigenous Electronic Warfare suite, manufactured by Bharat Electronics Limited and Bharat Dynamics Limited, enhancing their utility in various mission scenarios.

Spanish President Sanchez applauded the Tata-Airbus partnership, calling Tata a “giant among giants” in the global industrial landscape. Sanchez emphasized that this collaboration not only solidifies India-Spain industrial ties but also signals a strategic commitment by Spain to India’s growth. He also expressed optimism that the Vadodara facility would open doors for other European enterprises to invest in India’s thriving aerospace sector.

Inspiring Future Collaborations
The inauguration concluded with a walkthrough of an exhibition featuring India’s latest advancements in maritime surveillance, including the Multi-Mission Maritime Aircraft (MMMA) and Medium Range Maritime Reconnaissance (MRMR) systems, both based on the C-295 platform. 

PM Modi extended an invitation to the Spanish industry to participate further in India’s defense and aerospace sectors, expressing hope that this landmark project would catalyze additional joint collaborations between the two nations.