Following a high-level meeting with Prime Minister Narendra Modi, on February 11, 2026, Rolls-Royce CEO Tufan Erginbilgic announced a comprehensive roadmap to establish India as the company’s third “home market” outside the United Kingdom. This move focuses on deepening footprints in defense, civil aviation, and energy sectors to support India’s “Atmanirbhar” (self-reliance) and “Viksit Bharat” (developed India) initiatives.
The talks also covered collaboration in complex manufacturing and the development of high-value engineering capabilities in India.
Key Pillars
Defense & Technology Transfer: A primary highlight is the proposal to co-develop a 120 kN class engine for India’s Advanced Medium Combat Aircraft (AMCA). Crucially, this offer includes a full transfer of intellectual property (IP) and the establishment of a dedicated design and manufacturing complex.
Workforce Expansion: The company aims to more than double its current regional presence, growing the workforce to approximately 10,000 personnel. This builds on the 4,000 employees already active in their ecosystem, including 2,800 engineers.
Supply Chain Localization: Rolls-Royce plans a 10-fold increase in local supply chain sourcing, which will significantly benefit India’s small and medium-sized enterprises (SMEs), and strengthen existing partnerships with major firms such as the Tata Group, and Hindustan Aeronautics Ltd (HAL)
Cross-Sector Integration: Beyond combat jets, the company is exploring localized manufacturing for naval propulsion, and specialized power solutions for land and sea applications, as also power solutions for critical infrastructure.
Both parties are likely to focus on areas where their strengths overlap, such as sophisticated engineering, aerospace systems, defense technology, and digital skills, establishing the groundwork for long-term industrial cooperation.
Economic and Diplomatic Impact
The initiative aligns with the India-UK Vision 2035, aiming to boost bilateral industrial collaboration. British High Commissioner Lindy Cameron noted that the plan would “soar investment and jobs,” utilizing India’s “dynamic youth” to support global supply chains.
Rolls-Royce recently underscored this commitment by opening an expanded Global Capability and Innovation Center in Bangalore, which integrates digital and engineering teams to support its worldwide aerospace divisions.
