Airbus & Rolls-Royce To Deliver Aircraft, Engines To Indian Airlines In 5-Billion GBP Deal
Last Updated:July 24, 2025, 23:31 IST
The companies are among 26 other British firms that have secured new business in India under the historic free trade agreement signed by India and UK
Rolls Royce Trent XWB engines on view on the assembly line at the Rolls-Royce factory in Derby, England. (Image: AFP/File)
In a significant deal for the aviation sector under the historic free trade agreement signed between India and UK on Thursday, Airbus and Rolls-Royce will soon begin delivering aircraft and engines to major Indian airlines as part of contracts worth 5 billion GBP.
More than half of the Airbus aircraft are powered by Rolls-Royce engines. This lucrative deal will not only boost India’s aviation sector but help sustain jobs in various company sites in the UK – namely, Filton, Broughton and Derby. Airbus is headquartered at Blagnac in France, while Rolls-Royce is based out of Derby in the UK.
This deal is part of 26 British companies that have secured new business in India. Deccan Chronicle reported that the International Aerospace Manufacturing Private Limited (IAMPL) – a joint-venture between Rolls-Royce and Hindustan Aeronautics Limited (HAL) – is expanding its manufacturing in Hosur facility with an investment of 30 million GBP.
This deal will further give India access to advanced aircraft and efficient engines like the Rolls-Royce Trent XWB, enhancing connectivity and supporting India’s ambition to expand its commercial aviation infrastructure.
The free trade agreement (FTA) is aimed at eliminating or reducing tariffs on goods and services traded between India and the UK. This will ultimately increase bilateral trade to USD 120 billion by 2030 and create multiple jobs in both the countries.
NDTV reported that the other British companies on the list that will now invest in India include Carbon Clean, a carbon capture service provider, which will invest 7.6 million GBP in a Mumbai office. UK-based medical technology firm Occuity, which creates handheld, non-contact optical devices for eye measurements, has signed a 74.3 million GBP export deal with India’s Remidio Innovative Solutions. Johnson Matthey, a specialty chemicals firm, has secured contracts worth more than 20 million GBP, the report said.
Global business intelligence and event management agency The Marcus Evans Group is set to open a new office in Mumbai with an export/investment pipeline of 69 million GBP over five years, NDTV said.
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