British engineering multinational Rolls-Royce is betting big on India with plans to establish a maintenance, repair, and overhaul (MRO) unit for engines powering aircraft from regional jets to Airbus A350s. The company is also open to increasing its sourcing from India to over $1 billion in the next five years if its defense and power systems initiatives gain traction.
Key Offerings to India
Rolls-Royce has proposed two major initiatives for India: technology transfer to develop indigenous engines for the fifth-generation Advanced Medium Combat Aircraft (AMCA), and exploring opportunities for small modular reactors (SMRs) for civil nuclear use under the recently cleared Shanti Act 2025, which ends the public sector monopoly in the nuclear sector.
MRO Unit Plans
In an exclusive interview with TOI, Rolls-Royce Executive Vice President (Transformation India) Sashi Mukundan stated that Air India and IndiGo have firm orders for over 100 Airbus A350s, all powered by Rolls-Royce engines. These aircraft will be delivered over the next few years, requiring at least 220 engines and spare parts. Mukundan emphasized that the question is not if but when the company will set up an engine MRO in India, depending on the number of engines in the country. Currently, commercial aircraft engines from India are sent to Rolls-Royce MRO facilities in Singapore and Hong Kong.
Defence and Nuclear Collaborations
With full support from the UK government, Rolls-Royce has offered to set up an aero gas turbine complex in India for developing military jet engines, with potential dual-use for civil engines. The company promises complete technology transfer, ensuring India retains intellectual property sovereignty. The AMCA engine is expected to be ready for ground trials by 2032 and first flight by 2034.
Mukundan quoted the global CEO, who sees India as the fourth home market for Rolls-Royce, alongside the UK, US, and Germany. If defense and modular reactor plans materialize, the company could invest billions of dollars and employ over 10,000 people in India.
Existing Presence and Future Prospects
Rolls-Royce has been in India for 70 years, with joint ventures involving Hindustan Aeronautics and Force Motors. Across all verticals, including power and propulsion systems for generators, civil and defense aircraft, and naval and land defense, the company has 4,300 engines in India.
