Will Rolls-Royce Make India Its Next ‘Home Market’?

British aerospace giant Rolls-Royce is preparing to elevate India to the status of a strategic “home market” — placing it alongside the US and Germany. From co-developing next-generation engines for India’s AMCA fighter jet to boosting naval propulsion and land systems, the company is signalling long-term commitment and major investments.

Rolls-Royce May Designate India as Its Next ‘Home Market’: From AMCA Engines to the Navy

Rolls-Royce Eyes India as a Strategic Domestic Market

British aero-engine powerhouse Rolls-Royce is working toward making India its next major “home market.”
If the plan materializes, India will join the US and Germany as one of the company’s key strategic domestic bases outside the UK — indicating that Rolls-Royce aims for deep, long-term partnerships in India, especially across defence, aerospace, naval propulsion, and advanced engineering.

Large Investments Planned in India

In an interview with PTI, Sashi Mukundan, Executive Vice-President of Rolls-Royce India, confirmed that the company is preparing for “large investments” in India.

The most important element will be the development of next-generation aero engines in India for the Advanced Medium Combat Aircraft (AMCA) project.

AMCA is India’s indigenous fifth-generation fighter jet program and is considered a cornerstone of the nation’s defence strategy.

Mukundan said:

“Outside the UK, we have made the US and Germany our home markets. Now we want to bring India into the same category.”

He emphasized that Rolls-Royce’s ambitions go beyond defence — extending to naval systems, land platforms, manufacturing, advanced technologies, and skill development, fully aligning with ‘Make in India’ and India’s push for defence self-reliance.

AMCA Becomes the Core of the Strategy

At the heart of Rolls-Royce’s India strategy lies the AMCA program.

The company believes it has both the capability and experience to meet India’s next-generation fighter engine requirements.

Mukundan noted that if India decides to move ahead with a new-generation engine, Rolls-Royce can be a strong and reliable partner, willing to co-develop and co-own intellectual property (IP) with India.

According to him:

“If the engine is designed in India and the IP is jointly held, India gains strategic control.”

However, he also admitted that engine manufacturing is highly sensitive and requires careful, phased capacity development.

Benefits for the Indian Navy as Well

The advantages of the AMCA engine program will extend beyond the Air Force.
Rolls-Royce believes it could also strengthen India’s naval propulsion capability.

Advanced warships increasingly rely on electric and hybrid propulsion systems built around aero-engine cores — and Rolls-Royce is one of the few companies globally with deep expertise in this field.

If the aero-engine core is designed and developed in India, the same supply chain can support both navy and aerospace, eliminating the need for an entirely separate — and expensive — naval ecosystem.

Expanding Presence in Land Systems

To further strengthen its footprint, Rolls-Royce is set to sign MoUs with two Indian defence PSUs.

One agreement will focus on engines for the Arjun Main Battle Tank, while the other will relate to engines for future-ready combat vehicles.

This means Rolls-Royce is expanding partnerships across air, land, and naval domains simultaneously.

Why India Is Getting Special Status

Rolls-Royce CEO Tufan Erginbilgic has already told Prime Minister Narendra Modi that India will play a critical role in the company’s future.

Mukundan believes India’s global influence — especially across the Global South — is rising rapidly.

In his words:

“In the long term, India will become a major global power. That is why India is not just a market for Rolls-Royce — it is becoming a strategic home.”

Rolls-Royce’s Strengths

Rolls-Royce is among the world’s largest jet-engine producers and has a track record of developing and certifying new engines every 18 months.

It builds the EJ200 engine that powers the Eurofighter Typhoon and leads the UK-Japan-Italy sixth-generation fighter program.

The company also has high-thrust engine development experience from its collaboration with GE on the F-35 program.

Now, Rolls-Royce wants to link this expertise with India’s AMCA mission, enabling India not only to build fighter jets—but also to design and control the engines at their core.