Airbus to double sourcing from India to $2 billion over next couple of years

Speaking at the same event, Civil Aviation Minister K Rammohan Naidu reiterated the government’s ambition to design and manufacture commercial aircraft in India, and said that Airbus has a role to play in that endeavour.

European aerospace giant Airbus expects its component and services sourcing from India to nearly double to $2 billion annually over the next couple of years as the company’s engagement with the country is “gaining a new momentum” at a time when the aerospace and defence industry is taking off in India, Airbus India and South Asia President & Managing Director Rémi Maillard said Thursday. Airbus currently sources components and services worth 1 billion euros ($1.08 billion) from India.

India is the world’s third-largest domestic aviation market and also among the fastest-growing major aviation markets globally. With Indian airlines having over 1,200 commercial aircraft on order—a bulk of those with Airbus—the country is slated to emerge as a global aviation hotspot over the coming years. The country is also pushing the allied sectors of domestic aerospace and defence manufacturing.

“In the next couple of years we will further grow our sourcing footprint and touch the $2-billion mark, Airbus direct employment numbers will cross 5,000, we will set up a second pilot training centre in a JV (joint venture) with Air India, we will invest in setting up a 5,000-seater Airbus Campus in Bengaluru, we will deliver the first Make in India aircraft from the private sector—the C295 (and) we will deliver the first Make in India helicopter from the private sector—the H125—both programmes in partnership with Tata,” Maillard said at the inauguration of Airbus’s new India and South Asia headquarters.

Airbus currently sources components and services from dozens of Indian suppliers and service providers. It currently employs around 3,500 people in India, where it also operates an engineering centre. Airbus has also tied up with the Tata group to set up final assembly lines (FALs) for the C-295 military aircraft and the H-125 helicopters in India.

Speaking at the same event, Civil Aviation Minister K Rammohan Naidu reiterated the government’s ambition to design and manufacture commercial aircraft in India, and said that Airbus has a role to play in that endeavour.

“We are actively pursuing the dream (of designing and manufacturing commercial aircraft in India), and we feel that Airbus has a very big role to play. They have already been doing their bit over the years, expanding their footprint in manufacturing the important components that go into manufacturing aircraft,” Naidu said.

Last month, Naidu had said that the government plans to set up a special purpose vehicle (SPV) to devise and build a roadmap for development and manufacturing of an indigenous commercial aircraft in India, and is looking to involve multiple stakeholders including large planemakers like Airbus and Boeing.

“We are actively pursuing the dream (of designing and manufacturing commercial aircraft in India), and we feel that Airbus has a very big role to play. They have already been doing their bit over the years, expanding their footprint in manufacturing the important components that go into manufacturing aircraft,” Naidu said.

Last month, Naidu had said that the government plans to set up a special purpose vehicle (SPV) to devise and build a roadmap for development and manufacturing of an indigenous commercial aircraft in India, and is looking to involve multiple stakeholders including large planemakers like Airbus and Boeing.

source/content: indianexpress.com (headline edited)

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