Boeing Invests $1.5B in Indian AerospaceApr 17, 2006 02:35 UTC by Defense Industry Daily staff
The Boeing Company will invest $1.5 billion, directly and indirectly, in India’s aerospace industry as part of its $6 billion deal with national carrier Air India for 68 aircraft. The money will reportedly be used to set up facilities; conduct research and development; build a major maintenance, rrepair, and overhaul facility; and source software and other equipment. RTT News reported that: “Boeing, at present works with Wipro, Infosys, TCS and HCL Technologies, is looking at increasing the amount of work given to these companies.”
While civil jet deals are usually outside of Boeing’s purview, it is currently bidding for a pair of significant defense contracts in which industrial offsets may play a major role. It has formally offered India up to eight 737-derived P-8A MMA maritime patrol aircraft, and its F/A-18 E/F Super Hornet is a contender for India’s MRCA fighter competition. The growing Indian industrial base and connections that Boeing is developing for civil purposes could well end up being leveraged in other contexts as well.