GE Aerospace to double India supplier spending by 2030 amid aviation boom
New Delhi, Oct 12, 2026. GE Aerospace plans to nearly double its spending on Indian suppliers between 2025 and 2030, as the company seeks to expand its domestic supply chain to meet India’s growing demand for commercial aviation and strengthen the country’s aerospace manufacturing and engineering capabilities.
The announcement coincided with the release of a report compiled by Ernst & Young (EY), titled ‘Powering Progress: GE Aerospace’s Economic Impact in India’, which assesses the company’s contribution to commercial aviation, defence, manufacturing and engineering during four decades of operations in the country.
The report was unveiled at an industry gathering, ‘India Taking Flight – Aviation, Innovation and the Road to Viksit Bharat 2047’, hosted by GE Aerospace in New Delhi on October 12.
According to the report, GE Aerospace and its partners supplied engines powering the majority of commercial airline operations in India, with a fleet of more than 1,400 engines as of December 2025. These engines have supported Indian airlines in achieving a passenger load factor of 88.2 percent and aircraft utilisation of 12 to 14 hours daily, reflecting the high utilisation of aircraft in the country’s expanding aviation market.
India’s domestic commercial airlines generated approximately $19 billion in revenue in the financial year 2025-26, while the aviation ecosystem supported an estimated 370,000 direct jobs, the report said.
“India’s commercial aviation growth is one of the fastest in the world, and today’s report shows that our commitment here goes far beyond selling engines,” said Vikram Rai, CEO for South Asia at GE Aerospace.
He said the company’s contribution extended from component manufacturing in Pune to engineering and innovation in Bengaluru, adding that increased supplier spending would help strengthen the domestic aerospace ecosystem as India pursues its Viksit Bharat 2047 objectives.
Aviation expansion creates opportunities
India’s aviation sector is preparing for substantial expansion over the next two decades. Government projections cited in the report estimate that annual domestic passenger traffic will increase to 1.1 billion by 2040 from 340 million in FY26, while the number of airports is expected to rise from 163 to more than 350 by 2047.
Meeting the anticipated demand will require an estimated 3,300 additional aircraft, or 6,600 engines, across India and South Asia by 2044.
In July 2026, IndiGo signed a memorandum of understanding with CFM International for more than 1,000 LEAP-1A engines to power 510 Airbus A320neo family aircraft. The proposed order, described as the largest single LEAP engine order, also includes support for establishing IndiGo’s planned engine maintenance, repair and overhaul (MRO) facility.
GE Aerospace and its partner-engine programmes are expected to power most of the approximately 1,500 new aircraft already on order with Indian carriers. The report estimates that these aircraft could generate business worth more than $5.5 billion for India’s MRO industry.
The projected increase in aircraft numbers is expected to create opportunities for domestic suppliers, component manufacturers, maintenance providers and engineering companies, while increasing the importance of a reliable local supply chain.
Pune manufacturing facility expands capacity
GE Aerospace’s manufacturing operations in India are anchored by its Pune facility, established with an initial investment of $200 million. Since 2024, the company has invested nearly $55 million to expand automation, improve precision manufacturing and strengthen workforce development.
The facility is supported by a network of 17 major domestic suppliers, including small and medium-sized enterprises. GE Aerospace spent approximately $200 million on its Indian supply chain in 2025 and plans to nearly double that expenditure by 2030.
The company’s apprenticeship programme at Pune has trained approximately 5,000 production associates since 2015, with 400 to 500 new apprentices enrolled annually. The initiative is intended to develop the skilled workforce required for advanced manufacturing and aerospace production.
In Bengaluru, engineering development programmes and academic partnerships are contributing to India’s research and innovation capabilities. A joint innovation programme with the Indian Institute of Technology Madras, for instance, has produced a locally designed and manufactured Micro Turbomachine.
Defence cooperation supports indigenous capabilities
GE Aerospace’s engagement with India also extends to military aviation and naval propulsion, with its engines playing a role in the country’s efforts to strengthen defence manufacturing and reduce dependence on imports.
The company has partnered with Hindustan Aeronautics Limited (HAL) since 1986 on LM2500 naval engines and F404-IN20 engines used in the Tejas Mk1 light combat aircraft.
The F404 engine family has more than 4,000 engines deployed across 16 countries, according to the company.
A memorandum of understanding signed in 2023 provides a framework for exploring the domestic manufacture of F414 engines for the Tejas Mk2 programme, subject to final agreements and the necessary approvals.
GE Aerospace has also entered into a five-year Performance Based Logistics contract with the Indian Air Force for Apache helicopter engines. Separately, it has agreed to establish an in-country depot facility for F404-IN20 engines, which could strengthen local maintenance and support capabilities.
The proposed expansion of F414 engine manufacturing in India, if finalised, would be relevant to the country’s broader objectives of building domestic aerospace production capabilities and developing a more extensive defence industrial ecosystem.
Bengaluru centre contributes to global engine programmes
GE Aerospace’s Bengaluru Technology Centre, established in 2000 with an investment of $200 million, has become a major engineering and research base outside the United States.
The centre has secured more than 1,000 aviation patents and contributed to the design, development and certification of the GE9X, described by the company as the world’s most powerful jet engine.
Indian engineers based at the centre hold significant design responsibilities for the GE90, GP7200, GEnx and GE9X engine programmes. They are also involved in the CFM RISE programme, which aims to improve fuel efficiency by 20 percent while maintaining durability and meeting customer requirements.
The centre’s digital technology team supports the company’s global supply chain, MRO and sales operations through the application of artificial intelligence.
GE Aerospace’s planned increase in domestic supplier spending, alongside investments in manufacturing, engineering, workforce training and defence-related programmes, reflects its strategy to expand its presence in India as the country’s aviation market grows.
The company’s next phase of investment will also test the capacity of India’s component manufacturers, engineering talent and maintenance ecosystem to meet rising demand while supporting the government’s broader ambitions for domestic manufacturing, technological innovation and aerospace self-reliance.
