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India in talks with US to buy combat vehicles, seal fighter jet engine deal as Modi visits, sources say
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India in talks with US to buy combat vehicles, seal fighter jet engine deal as Modi visits, sources say
Feb 9, 2025 11:39 PM

*

Modi visits Washington on Wednesday and Thursday

*

Trump wants India to buy more U.S.-made security equipment

*

Modi says defence, technology, trade and energy ties in

focus

(Adds Modi quotes in paragraphs 3-4, Modi prepares additional

tariff cuts paragraph 5)

By Shivam Patel

NEW DELHI, Feb 10 (Reuters) - India is in talks with the

United States for the purchase and co-production of combat

vehicles as well as finalising a fighter jet engine deal, people

familiar with the matter said, as Prime Minister Narendra Modi

meets President Donald Trump this week.

The world's biggest arms importer, India traditionally

relies mainly on Russia. Last month, Trump asked Modi, who heads

to Washington on Wednesday for a two-day visit, to buy more

U.S.-made security equipment and move "toward a fair trading

relationship".

"I look forward to meeting my friend, President Trump," Modi

said in a statement on Monday before leaving for France and the

United States.

"This visit will be an opportunity to build upon the

successes of our collaboration in his first term and develop an

agenda to further elevate and deepen our partnership, including

in the areas of technology, trade, defence, energy, and supply

chain resilience."

Modi is preparing additional tariff cuts ahead of his

meeting with Trump that could boost American exports to India

and avoid a potential trade war, government officials said.

India and the United States have been in protracted talks

over the co-production of Stryker combat vehicles made by

General Dynamics ( GD ) and also used by the U.S. Army.

They are also working to wrap up contract talks on

co-production of fighter jet engines in India for the Indian Air

Force, a deal agreed in 2023, said two sources who sought

anonymity as they were not authorised to tall to the media.

"We certainly wish to expedite the transaction which we

would like to have with the United States," Defence Production

Secretary Sanjeev Kumar told reporters on Sunday, adding that

such efforts were underway. But he did not elaborate.

Officials of India's state-owned Hindustan Aeronautics Ltd

(HAL) are set to meet in coming weeks with U.S.

officials and the aerospace unit of General Electric ( GE ),

maker of GE-414 engines, for talks to finalise the deal by

March, the sources said.

GE, HAL, General Dynamics ( GD ), the U.S. embassy in New Delhi and

Indian defence and foreign ministries did not immediately

respond to requests for comment.

New Delhi has started talks with the Trump administration on

a plan to buy Stryker vehicles after they were demonstrated late

last year for the Indian Army, two other sources said, also

speaking on condition of anonymity.

The plan envisages that India will acquire a few hundred

Strykers with a mounted anti-tank guided missile system, they

added, and later co-produce them through a state-run firm, the

sources said.

It was not immediately clear if the two potential deals

would feature in talks between Modi and Trump, whose warning on

Sunday that he would introduce new 25% tariffs on all steel and

aluminium imports into the United States could also hurt Indian

companies.

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