India transforms into a global aerospace hub as domestic manufacturing takes off.
Aviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience.
India is evolving into a global aerospace hub as the first locally built Airbus C295 prepares for a 2026 rollout, marking a shift toward domestic production.
Key Takeaways
- •The first 'Made in India' Airbus C295 is scheduled for rollout in September 2026 from the Vadodara facility.
- •HAL and Adani are pursuing partnerships with UAC and Embraer to manufacture commercial regional jets domestically.
- •Budget 2026 incentives, including customs duty exemptions, are accelerating the growth of the local aerospace supply chain.
- •India currently has a backlog of over 1,200 aircraft orders, providing a long-term demand base for local assembly lines.
India is entering a new era in aviation history. For decades, the nation was known for buying the most planes in the world. Now, it is becoming a place that builds them. This shift from importing to manufacturing marks a major turning point for the commercial aviation industry in India.
The Vadodara Milestone
The most visible sign of this change is in Vadodara. Here, Tata Advanced Systems and Airbus have built a massive factory. This facility is the first private final assembly line for aircraft in India. It is currently producing the C295 military transport plane.
Industry reports confirm the first "Made in India" C295 will roll out in September 2026. This project is more than just a military deal. It serves as a blueprint for future civilian jets. The factory will eventually produce 40 aircraft locally. It also supports a growing network of 37 Indian suppliers. These companies provide over 13,000 detailed parts for each plane.
Expanding into Commercial Jets
India's ambitions do not stop with military planes. The government is pushing for domestic passenger jet production. State-owned HAL has partnered with Russia’s United Aircraft Corporation. They aim to produce the SJ-100 regional jet in India by 2029.
Private players are also moving fast. The Adani Group recently signed a deal with Embraer. They plan to explore an assembly line for commercial regional jets. These planes would carry between 70 and 146 passengers. This is critical for India's regional connectivity goals.
Why the Moment Has Arrived
Several factors are making this manufacturing dream a reality. First, the demand is massive. Indian carriers like IndiGo have over 1,000 planes on order. This huge backlog gives manufacturers a reason to build locally.
Second, government policy has changed. The 2026 Union Budget removed customs duties on aircraft components. This makes it cheaper to build and repair planes in India. The DGCA is also updating its rules. They want to ensure Indian-made planes meet global safety standards.
Impact on Global Aviation
India is no longer just a customer. It is becoming a vital part of the global aerospace supply chain. Major companies like Boeing and Airbus already source billions in parts from India. By building full aircraft, India creates thousands of high-tech jobs. It also reduces the risk of global supply chain delays.
Challenges remain, such as the need for more skilled engineers. However, the momentum is clear. With factories now operational, India is proving it can do more than fly planes. It can build the future of flight.
For global airline trends and commercial aviation news, turn to flying.flights. Discover how innovation is shaping aviation through aircraft systems, avionics, and digital tools at flying.flights/technology.

Written by Ujjwal Sukhwani
Aviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience. Covers flight operations, safety regulations, and market trends with expert analysis.
Visit ProfileYou Might Also Like
Discover more aviation news based on similar topics
Airbus Delivers 700th Aircraft from its Tianjin Assembly Line
Airbus delivered its 700th China-assembled A320 family aircraft from its Tianjin plant, highlighting its deepening industrial footprint in a key market.
Airbus Slows A320 Production Ramp-Up Amid P&W Engine Shortage
Airbus is slowing its A320 production ramp-up due to a persistent shortage of Pratt & Whitney engines, impacting its 2026 delivery targets.
Airbus Targets Record 2026 Deliveries Despite Engine Supply Constraints
Airbus targets a record 870 aircraft deliveries for 2026 but faces production constraints due to ongoing engine shortages from supplier Pratt & Whitney.
Boeing 777-9 Simulators Gain Initial FAA and EASA Qualification
Boeing received initial FAA and EASA qualification for its 777-9 flight simulators, a critical step toward commencing pilot training for the new widebody.
Embraer Targets 200-Jet Order for India Assembly Line
Embraer seeks 200 firm aircraft orders from Indian carriers as a prerequisite to establishing a local final assembly line with its partner Adani Group.
Airbus Cuts A320 Targets, Citing Pratt & Whitney Engine Shortages
Airbus is scaling back A320 production targets, publicly blaming Pratt & Whitney for a significant engine shortage that is disrupting its delivery schedule.