India and Russia have signed an agreement for the joint production of passenger aircraft. This is reported by Bloomberg.
The Indian state company Hindustan Aeronautics Limited (HAL) has signed a contract with the Russian United Aircraft Corporation (UAC) for the production of civil regional aircraft SJ-100 (Sukhoi Superjet 100).
As noted by HAL, this will be the first full-scale passenger aircraft production program in India's history.
The agreement stipulates that HAL will receive the rights to manufacture SJ-100 for Indian airlines. Details regarding the investment volumes or possible technology transfers are not disclosed.
The project is seen as part of Prime Minister Narendra Modi's initiative to develop local manufacturing. It could be an important step towards expanding regional air transportation, as India plans to double the number of airports to 350 by 2047.
The signing of the agreement took place against the backdrop of tensions in India’s relations with the United States. President Donald Trump has repeatedly criticized New Delhi for purchasing Russian oil and imposed 50% tariffs on Indian goods, citing trade barriers and India's cooperation with Moscow.
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