Mahindra Aerostructures and Airbus Ink Strategic Pact to Propel India into Global Aerospace Manufacturing Leadership

April 10, 2025 | Bengaluru, India — In a landmark development for India’s aerospace sector, Mahindra Aerostructures Pvt. Ltd. (MASPL) has signed a long-term strategic partnership with Airbus, one of the world’s largest aircraft manufacturers. This agreement aims to significantly enhance India’s aerospace manufacturing capabilities and integrate Indian suppliers into the global supply chain at a deeper level than ever before.

The collaboration is poised to contribute meaningfully to India’s emergence as a key global aerospace hub, bolstered by favourable policy, rising air traffic, and increased defense and commercial aviation investments.

Expanding High-Precision Aerostructure Manufacturing

At the heart of the partnership lies the joint ambition to scale advanced aerostructure manufacturing in India. Mahindra Aerostructures will antique detailed parts, complex sub-assemblies, and structural systems for Airbus aircraft platforms. These include:

• Fuselage and wing assemblies
• Flight control surfaces and doors
• Engine pylon structures and nacelle components
• Metallic and composite airframe parts

The parts will be manufactured in Mahindra’s Narasapura facility near Bengaluru, which is equipped with advanced CNC machining lines, composite layup areas, and automated inspection systems. Airbus’s engineering requirements are among the most stringent globally, and Mahindra’s ability to meet these standards demonstrates India’s maturity in aerospace-grade manufacturing.

This work will help reduce Airbus’s supply chain risks, while allowing India to climb the aerospace value chain from parts supplier to systems integrator in the long run.

Localizing and Strengthening Global Supply Chains

Airbus’s engagement with Mahindra is part of a broader strategy to de-risk its global production ecosystem by diversifying into stable and cost-effective regions. With India’s policy support and growing technical workforce, it’s a natural choice.

This partnership will:

• Anchor Airbus’s long-term sourcing from India, building on over $750 million already sourced annually from Indian companies.
• Encourage the development of second- and third-tier suppliers across India by linking them to Airbus’s global procurement ecosystem.
• Drive investments into adjacent industries, including advanced materials, precision tooling, and quality control software.
• Create an aerospace industrial corridor by attracting suppliers around Mahindra’s plant in Karnataka.

In essence, India is being positioned as a regional hub for aerospace production and export, enabling Airbus to meet global demands while supporting local economic development.

Commitment to Sustainability and Smart Manufacturing

In alignment with global aviation’s decarbonization goals, both Mahindra and Airbus are embedding sustainability into their joint operations.

Key initiatives include:

• Adoption of green manufacturing technologies, such as closed-loop water systems, energy-efficient CNC machines, and solar-powered facilities.
• Implementation of AI and machine learning tools for predictive maintenance, defect detection, and production efficiency optimization.
• Use of lightweight composite materials that improve aircraft fuel efficiency and reduce environmental impact.
• Plans to achieve carbon neutrality at Mahindra’s aerospace plant by 2030, in line with Airbus’s global sustainability commitments.

This joint focus reflects the evolution of aerospace manufacturing into a data-driven, environmentally responsible sector that balances growth with global responsibility.

🇮🇳 Aligning with India’s Defense and Aviation Ambitions

India’s government has made aerospace a strategic sector under its ‘Atmanirbhar Bharat’ initiative, aiming to boost indigenous manufacturing and reduce dependence on imports. The Mahindra-Airbus partnership strongly aligns with this vision.

Expected outcomes include:

• Job creation across high-tech roles in CNC machining, composite fabrication, quality assurance, and engineering.
• Technology transfer and skill development, as Airbus shares best practices and know-how with Indian teams.
• Boost to defense aerospace programs, where Mahindra’s increased capacity can be leveraged for indigenous fighter aircraft, UAVs, and rotorcraft components.
• Catalyzing domestic R&D, as local universities and startups are encouraged to innovate within the aerospace ecosystem.

This initiative is more than a supply chain exercise – it is a capacity-building platform that strengthens India’s position in both civil and defense aviation markets.

Executive Commentary: Vision from Industry Leaders

Arvind Mehra, Executive Director and CEO of Mahindra Aerostructures, stated:

“Our alliance with Airbus reflects the next chapter of India’s aerospace evolution. It’s a powerful combination of global expertise and local excellence. We’re building more than aircraft parts – we’re building India’s future in aviation.”

Airbus leadership emphasized their ongoing commitment to India, noting the country’s engineering talent, infrastructure readiness, and policy environment as strong enablers of success.

The agreement reflects a shared commitment to long-term industrial cooperation, not merely transactional sourcing.

Airbus’s Expanding India Footprint

Airbus has long viewed India as a strategic growth market. In addition to commercial aircraft, its activities in India include:

• A fully possessed engineering center in Bengaluru employing over 700 engineers.
• A C295 military transport aircraft final assembly line being established with Tata in Gujarat.
• Long-standing collaboration with over 45 Indian suppliers, including HAL, Dynamatic Technologies, and Axiscades.
• Training programs for pilots and engineers, and investments in skilling initiatives.

This partnership with Mahindra Aerostructures further deepens Airbus’s industrial presence and sourcing volume in India, moving the country from partner to indispensable production base.

About Mahindra Aerostructures Pvt. Ltd.

MASPL, part of the Mahindra Group, is a leading supplier of precision-built aerostructures to global OEMs. With certifications from AS9100, NADCAP, and various OEM-specific quality approvals, the company serves both civil and defense aerospace sectors. Its 250,000+ sq. ft. facility is recognized for automation, quality engineering, and commitment to lean manufacturing.

About Airbus

Airbus SE is a European multinational aerospace corporation that designs and manufactures commercial aircraft, defense equipment, helicopters, and space systems. With operations in over 180 countries, Airbus is known for its cutting-edge aviation technologies and strong emphasis on sustainability, innovation, and global collaboration.

Conclusion: Building India’s Aerospace Future

The Mahindra-Airbus strategic agreement marks more than a business collaboration—it is a blueprint for India’s rise as a global aerospace power. Through cutting-edge manufacturing, strong policy alignment, and mutual long-term commitment, this partnership is expected to redefine India’s aerospace capabilities over the next decade.

As global aviation prepares for its next leap forward, India is no longer just a market—it is a manufacturer, innovator, and strategic pillar in the future of flight.