India’s defence exports to the US exceed $2.8 billion, making up over 50 percent of total exports.
India’s defence exports to the United States have grown significantly, surpassing $2.8 billion over the last five years and accounting for more than 50 percent of the country’s total defence exports, according to Ranjana Khanna, Director General and CEO of the American Chamber of Commerce in India (Amcham).
The Amcham report, titled “US-India Defence Partnership: Co-Production & Co-Development,” highlights the US as the leading destination for India’s defence exports. The report underscores the contributions of US industries in India and their Indian partners in supporting the Indian government’s mission to enhance defence exports.
India’s defence exports for FY22-23 stood at $1.6 billion, marking a ten-fold increase over five years. Khanna emphasised the importance of the US-India defence partnership in light of US National Security Advisor Jake Sullivan’s recent visit to India and the Indian government’s target of achieving $5 billion in defence exports by FY24-25.
The report notes that India’s defence acquisitions from the US include a diverse range of equipment. According to the Stockholm International Peace Research Institute (SIPRI) report on global arms trade, 2024, the US and France collectively account for 46 percent of India’s arms imports, with the US emerging as a key supplier.
The Amcham report also highlights the strong partnerships between American companies and Indian entities, including Lockheed Martin-Tata Advanced Systems, Boeing-HAL, BAE Systems-HAL, and GE-HAL. These collaborations are fostering technology transfer, innovation, and skill development in India.
Furthermore, the US defence industry’s presence in India has created over 28,000 direct jobs and provided gainful employment to an additional 20,000 people. Through initiatives in STEM education, skilling, nutrition, health, livelihood, sanitation, and sustainability, the industry has improved the quality of life for over 2.6 million people in India.
