Aircraft component sector: India
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History
India’s aircraft component industry has its origins in the early 20th century, when aviation as a whole began to take root in the country. The first commercial flight in India took place on 18 February 1911, linking Allahabad and Naini with mail delivery. However, the true foundation of the aviation manufacturing sector came later during the colonial period, when private enterprises began experimenting with aircraft maintenance and assembly. Hindustan Aircraft Limited (HAL), established in 1940 in Bangalore, became the cornerstone of India’s indigenous aircraft production efforts, introducing manufacturing for defense purposes during the Second World War.
After independence, HAL played a crucial role in developing India's aeronautic capacity. In 1953, the Indian Parliament passed the Air Corporations Act, nationalizing the aviation industry, which led to greater coordination between state-owned defense research bodies and aircraft producers. Through the 1960s and 1970s, HAL manufactured jet trainers and military aircraft in partnership with Soviet and British suppliers. The civil aviation component manufacturing remained relatively small and depended heavily on imports.
Post-1990 Liberalization
The liberalization of the Indian economy in 1991 opened the aerospace and aviation sectors to private investment. Several new players entered the industry, including Tata Advanced Systems Limited (TASL), Mahindra Aerospace, and Bharat Forge Aerospace Division, spurring competition. By the early 2000s, India began producing both airframe structures and precision-engineered parts like landing gears and avionics modules domestically.
Government initiatives such as “Make in India” (launched in 2014) and “Atmanirbhar Bharat” further strengthened this transformation. International partnerships with Airbus, Boeing, Rolls-Royce, and Collins Aerospace began to multiply, leading to technology transfers and joint ventures. India started moving from assembling foreign-designed aircraft components to designing and producing indigenous systems.
Current Size of the Industry
Today, India’s aircraft component and parts manufacturing market represents a rapidly expanding segment of its aerospace industry. According to Markets & Data (2023), the market was valued at USD 16.22 billion in FY2025, with projections to reach USD 26.66 billion by FY2033, growing at a CAGR of 6.41% between FY2026 and FY2033.
Similarly, IMARC Group (2024) reports a growth rate of 6.37% for the same period, forecasting the market to reach USD 29.50 billion by 2033. This growth is largely driven by the surge in domestic and defense aviation operations, aircraft fleet modernization, and strong government support for localization.
These promising figures place India among the top emerging aerospace manufacturing hubs globally. The Airbus Defence and Space Quality Management System (QMS) approval for aircraft manufacturing in India, coupled with substantial investments in MRO (Maintenance, Repair, and Overhaul) activities, are key indicators of this growth.
Some of the critical sector drivers include:
Rising passenger traffic and commercial fleet renewals.
Expansion of defense procurement and modernization of Air Force fleets.
Increased indigenous manufacturing of structural, avionics, and propulsion components.
High demand for fuel-efficient and lightweight materials in aircraft design.
Leading Manufacturers
Hindustan Aeronautics Limited (HAL)
Founded in 1940, HAL remains the largest and oldest aerospace manufacturer in India. It produces aircraft, helicopters, and key components like engine parts, avionics systems, and structural assemblies for both military and civil applications. HAL’s collaboration with Sujan Industries and other private entities has enhanced its component engineering capabilities.
Tata Advanced Systems Limited (TASL)
A major private player, TASL has become a cornerstone of India’s aircraft manufacturing ecosystem. The company entered into partnerships with Airbus Defence and Space to manufacture C295 transport aircraft assemblies in India. TASL is set to deliver the first India-manufactured C295 aircraft in September 2026, marking a new chapter in domestic aerospace production. The company also supplies metallic structural parts for Airbus A320neo and A330neo programmes.
Mahindra Aerospace
Mahindra Aerospace Structures Private Limited manufactures airframe assemblies and metallic detail parts for the Airbus family of aircraft. The company focuses on structural components and precision engineering in composite materials.
Sujan Industries
A highly specialized manufacturer providing polymer-engineered aircraft parts, Sujan Industries produces critical seals and gaskets for HAL’s Aircraft Engine Division and helicopter units. It has developed innovations such as fiber-reinforced K-Seal systems for Low-Cost Aircraft (LCA) engine sealing under extreme conditions.
Bharat Forge Aerospace Division
Part of the Bharat Forge group, this division specializes in titanium and aluminum forged components for jet engines and landing gears. It caters to both domestic defense requirements and international aerospace clients.
Others
Other noteworthy players include Dynamatic Technologies, Godrej Aerospace, and Larsen & Toubro, which contribute extensively to aircraft subassemblies, simulation equipment, and precision-machined components.
Purchasers and Partnerships
India’s aircraft component market is deeply integrated into the global supply chain, with several prominent international purchasers sourcing significant volumes from Indian manufacturers.
Airbus
Airbus plans to increase procurement from India to USD 2 billion annually by 2030, up from USD 1.4 billion in 2025. It collaborates closely with TASL and Mahindra Aerospace for the production of airframe and metallic parts.
Boeing
Boeing sources over USD 1 billion worth of aircraft components and systems annually from India, according to The Economic Times (2025) — a massive jump from USD 250 million a decade ago. Boeing’s partnerships include suppliers such as Dynamatic Technologies, Tata Boeing Aerospace Limited, and Rossell Techsys.
Rolls-Royce and Collins Aerospace
Both companies are increasingly engaging with Indian firms for engine technologies and aircraft system modules. Rolls-Royce focuses on precision components and propulsion systems, while Collins Aerospace is involved in control systems and landing gear production in partnership with Bharat Forge and Godrej Aerospace.
Goodrich Aerospace Services Pvt Ltd
According to Volza’s 2025 dataset, Goodrich Aerospace Services Pvt Ltd is the largest aerospace importer and purchaser in India, acquiring substantial quantities of specialized aircraft components from domestic suppliers.
Défence Sector Purchasers
The Indian Air Force, Navy, and Army Aviation Corps all form major domestic purchasers of aircraft components manufactured by HAL, Sujan Industries, and Bharat Forge. Defense modernization programs, including the Tejas LCA, Apache, and Rafale support systems, have driven demand for locally produced components.
India's Role in the Global Supply Chain
India’s trajectory in aircraft component manufacturing positions it as a critical link in the global aerospace supply chain. The nation benefits from a skilled labor force, cost-effective production, and expanding engineering capacity. Several firms are exploring acquisitions and IPOs to fund expansion, as indicated by The Economic Times (October 2025). The relatively low import tariffs (around 25%) compared to other manufacturing sectors further strengthen India’s competitiveness internationally.
Many global aerospace companies emphasize that Indian suppliers have become “essential” parts of their production networks — meaning supply diversification away from India would now take years of restructuring.
