In recent years, global aerospace companies have faced serious challenges in their supply chains. Strikes, shortages of materials, and a lack of skilled workers have slowed down production in North America and Europe. As demand for air travel rises, major aircraft and engine manufacturers are looking for new solutions. Their answer? India.
India is emerging as a strong alternative for sourcing aircraft parts and components. The country has long been a buyer of airplanes, but now it is making a mark as a key supplier in the global aerospace industry. Companies like Airbus, Rolls-Royce, and Pratt & Whitney are increasing their purchases from Indian firms to keep up with growing demand.
Every aircraft has thousands of parts, from engines and landing gear to electrical systems and fuselage components. Any delay in production can cause setbacks worth billions of dollars. With traditional suppliers struggling, aerospace giants are turning to India to fill the gaps.
India’s Aerospace Industry Grows Rapidly
India’s aerospace industry is booming. Companies in Bengaluru, one of the country’s main industrial hubs, are seeing record growth. Local firms that once struggled to get contracts are now in high demand.
For years, Indian manufacturers produced only basic aircraft parts. But now, they are moving into high-value areas like design, engineering, and system integration. Airbus, one of the world’s largest aircraft makers, recently awarded its second aircraft door contract within a year to Indian suppliers. The company says every Airbus aircraft now has at least one component made in India.
The numbers show just how fast the sector is expanding. One Indian aerospace supplier took 12 years to reach $2 million in revenue but then jumped to $20 million in just six years. Another company aims to double its division revenue to over $57 million in three years.
Despite this growth, India still accounts for only 1% of the global aerospace supply chain market. But with more contracts flowing in, this number is expected to rise quickly. The country’s ability to provide cost-effective solutions and a skilled workforce makes it an attractive destination for global giants.
India Becomes the Best Option
Western aerospace firms say they need reliable and cost-effective suppliers, and India fits the bill perfectly. The country’s engineering talent, competitive costs, and improving infrastructure make it an ideal partner for aircraft manufacturing.
One major aerospace executive recently called India “the best solution to supply chain challenges.” With traditional suppliers unable to meet demand, companies like Rolls-Royce plan to double their sourcing from India within five years.
India is already the world’s third-largest domestic aviation market by passenger seats. The country’s rapid economic growth and increasing demand for air travel have led to massive aircraft orders. Airlines like IndiGo and Air India are purchasing hundreds of new planes, which further fuels the demand for aerospace components and maintenance services.
Government Efforts to Boost Aerospace Manufacturing
The Indian government is also taking steps to boost aerospace manufacturing. Industry leaders recently met with government officials to discuss ways to increase local sourcing of raw materials like aluminum, steel, and titanium. This is a key step toward strengthening India’s position in the global supply chain.
For years, Indian companies struggled to win large aerospace contracts due to long approval processes and challenges in material sourcing. But now, things are changing. Major firms are signing contracts more quickly, and onboarding times for Indian suppliers have significantly improved.
With the global aerospace market expected to grow rapidly, India’s role in aircraft manufacturing and parts supply is expanding. The shift in global supply chains is providing a major boost to the country’s aerospace sector, turning it into a key player in the industry.