JSW Defence commences construction of next-gen UAS facility in Hyderabad
Partners with shield ai, usa to invest us$ 90 million in state-of-the-art facility to manufacture military drones
Bengaluru. JSW Defence Pvt. Ltd., part of the US$ 23 billion JSW Group, on December 2, 2025 commenced construction of its facility for the next-generation Unmanned Aerial Systems (UAS) at EMC Maheshwaram, Hyderabad.
JSW has entered into a strategic partnership with Shield AI – a leading US-based defence technology company – to manufacture their Group 3 UAS – VBAT, under a long-term licensing arrangement for Transfer of Technology (ToT).
As part of the partnership, the JSW Group will invest around US$ 90 Million to establish JSW’s global compliance program, a manufacturing facility to ensure proper technology licensing, and training of manpower. This investment will enable JSW to establish a local supply chain and create an advanced facility in India for manufacturing, assembling and testing V-BAT. This effort will enable large-scale production of V-BATs in India to serve the needs of the Indian Armed Forces and also function as a global production hub.
The manufacturing of VBATs at the facility is expected to commence by the last quarter of 2026.
The foundation stone laying ceremony of the plant was performed by Mr. Parth Jindal of the JSW Group, in the presence of Shri Duddilla Sridhar Babu, Honourable Minister for IT, E&C and Industries & Commerce, Telangana, senior officials from the state government, Shield AI and the Indian Armed Forces.
Mr. Parth Jindal of JSW Group said, “Today’s milestone signals a bold new chapter in India’s journey toward self-reliance in next-generation defence technologies. Our collaboration with Shield AI reflects our shared ambition to bring mission-critical, globally benchmarked capabilities to India and to build an ecosystem that will define the future of unmanned systems for the nation. From manufacturing the globally renowned V-BAT at scale, the facility will lay the foundation for an integrated, end-to-end UAS ecosystem, from advanced manufacturing to operator training, MRO and sustained innovation. This project stands among the most significant defence technology transfers to India, and underscores our unwavering commitment to strengthen the country’s strategic capabilities and establishing India as a global leader in the unmanned aerial systems domain.”
Mr. Sarjan Shah, Shield AI’s Managing Director for India, said, “Shield AI is proud to be working alongside JSW in creating an indigenous production ecosystem for the V-BAT. The establishment of this world-class facility sets in motion, the joint vision of the JSW Group and Shield AI to deepen Indo–US defence collaboration built on trust, transparency and shared strategic priorities. JSW’s scale, industrial expertise and commitment to building strategic technologies in India make them an ideal partner for us as we work to expand the global footprint of the V-BAT.”
The V-BAT is a fixed-wing, vertical take-off and landing (VTOL), long endurance intelligence, surveillance, reconnaissance (ISR) platform, currently deployed by multiple armed forces around the world, including the United States’ Marine Expeditionary Units (MEUs). It provides cutting-edge ISR functionality in a highly tactical system, capable of being forward deployed in complex and adversarial territory in order to provide a range of flexible solutions to special forces, front-line infantry, armoured and artillery units. V-BAT has a unique patented ducted design with the advantage of a small logistics footprint and ease of rapid deployment. This technology is expected to be a game-changer in modern warfare, significantly elevating the nation’s military unmanned aerial systems prowess.
Aligned with the vision of Aatmanirbhar Bharat, this initiative will develop and strengthen Telangana’s industrial ecosystem, creating high-quality employment and reinforcing India’s national security.
