India's first privately-led helicopter manufacturing unit by Tata-Airbus to come up in Karnataka; to make Airbus' 'best-selling' H125 chopper
Airbus, the European aviation giant, and Tata Advanced Systems (TASL), the aerospace division of the Tata group, are looking to establish a Final Assembly Line (FAL) for H125 helicopters in Kolar, Karnataka.
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The facility will manufacture Airbus' popular H125 civil helicopter for Indian and regional markets, becoming the fourth such installation globally after those in France, US and Brazil. Initially producing 10 helicopters annually, the facility will expand operations based on Airbus' forecast of 500 light H125-class helicopters being required in the region over the next two decades.
This is India's first private-sector helicopter assembly facility, strengthening the government's Make in India initiative, which aims to achieve self-sufficiency in aerospace manufacturing.
Sources told ET that the facility will be located in the Vemgal Industrial area, approximately two hours from Bengaluru, where TASL already operates other facilities, including a satellite manufacturing unit.
Airbus-Tata helicopter plans
Karnataka secured the aircraft manufacturing project over Anantapur, Andhra Pradesh (known for its Kia Motors facility) due to its robust ancillary support ecosystem and existing TASL presence.
TASL has acquired 740,000 square feet in Karnataka's Vemgal Industrial Area to establish aircraft manufacturing, final assembly, and MRO facilities.
"The locations were apprised based on their logistics facility, expansion potential, availability of skilled workforce and promises of the state government like fast track approval of permissions," said a project insider.
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The state's aerospace and defence policy offers land subsidies, capital investment support, stamp duty benefits, electricity charge incentives, and production-linked benefits of 1% annual turnover for five years.
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"This will not only strengthen indigenous manufacturing capabilities but also act as a catalyst for developing advanced industrial clusters," commented Aravind Melligeri, executive chairman & CEO, Aequs, an aerospace manufacturer supplying to Airbus.
"Initiatives like this drive skill development, attract supply chain investments, and create high-value employment, accelerating the transformation of India into a globally competitive and strategic node in global aerospace manufacturing,"
Tata and Airbus are establishing a C295 aircraft assembly line in Vadodara, Gujarat. The state has attracted significant investments, including semiconductor plants and the international diamond bourse, prompting opposition leaders to suggest preferential treatment from the central government.
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