Newsletter
Hindustan Aeronautics Limited (HAL) and Russia’s United Aircraft Corporation (UAC) have signed a deal to produce the SJ-100 commuter aircraft in India.
Note: this marks the first time since 1988 that a full passenger aircraft will be built in India.
The move: by partnering with Russia, the company is expanding into the civil aviation sector using its defence manufacturing expertise to build commercial planes.
This helps India reduce dependence on foreign aircraft like Airbus and Boeing, while boosting India’s aerospace ecosystem, as both defence and civil aviation share similar tech, infrastructure, and skills.
The twin-engine, narrow-body jet, already used by over 16 global airlines will soon be made right here for domestic and regional markets. HAL will hold the rights to manufacture it for Indian customers.
Why it matters: by producing the SJ-100 locally, it will make short-distance air travel more common and affordable, connecting smaller towns and cities that currently lack regular flights.
Over time, having aircraft made in India will help lower costs, potentially making air tickets cheaper for passengers. Beyond travel, this will also boost tourism, trade, and business in regional areas.
The numbers: India’s skies are getting busier over the next decade.
The country will need 200 regional jets for domestic routes and 350 more for nearby international travel. That’s 550 aircraft in total and HAL wants to make sure they’re Made in India.
