India and UK Near Major Defence Deals on Electric Propulsion and Missiles

India and the United Kingdom are close to finalising two inter-governmental agreements (IGAs) that will see joint development of integrated full electric propulsion (IFEP) for Indian Navy landing platform docks (LPDs) and production of Martlet lightweight multirole missiles (LMM). These agreements, reported by The Diplomat, build on a Statement of Intent signed in November 2024 for maritime electric propulsion systems and years of discussion on shifting from diesel to electric engines to improve efficiency and reduce fossil fuel dependency.

Under the Vision 2035 10-year Defence Industrial Roadmap announced last year, the two countries have also stepped up talks on a potential mega-deal to design and develop a jet engine for India's advanced medium combat aircraft (AMCA), a fifth-generation fighter. The roadmap prioritises collaboration in advanced technologies, complex weapons, and co-development, including underwater systems and direct energy weapons.

The expansion of military-to-military cooperation, joint exercises, and research ties is underpinned by converging interests in the Indo-Pacific, where the UK views India as a key stabilising force. Beyond defence, the bilateral relationship has been strengthened by the conclusion of a free trade agreement (FTA) that came into effect on July 15, 2026.

The IFEP agreement is expected to cover the initial deployment on four LPDs, for which a separate tender is underway. As part of the cooperation, GE Vernova and state-owned Bharat Heavy Electricals Limited have announced plans to set up India's first land-based test facility for IFEP. The Indian Navy is targeting a fleet of over 200 ships by 2035.

Why This Matters

The agreements mark a tangible outcome of the India-UK Vision 2035 defence roadmap, shifting the relationship from buyer-seller to co-development partner.
IFEP systems could reduce the Indian Navy's fossil fuel dependency and operational costs across its expanding fleet.
The jet engine talks signal deep technology transfer, potentially giving India access to advanced propulsion for its fifth-generation fighter programme.

Background

India and the UK have steadily deepened defence ties over the past decade, driven by overlapping strategic interests in the Indo-Pacific and the UK's post-Brexit push for trade deals. The Vision 2035 roadmap, announced in 2025, formalised a 10-year plan for collaboration in advanced technologies and complex weapons. A bilateral free trade agreement came into effect in July 2026, the largest trade deal of modern times for both nations. The defence industrial cooperation now moves from dialogue to contract-level agreements.

Key Perspectives

India: The agreements align with India's 'Make in India' defence policy and its need to modernise a navy targeting 200 ships by 2035. Co-developing propulsion and missiles reduces import dependency and builds domestic industrial capability. United Kingdom: For the UK, the deals represent a strategic foothold in one of the world's largest defence markets and a validation of its post-Brexit partnership model. The jet engine opportunity is particularly attractive given Rolls-Royce's existing presence. Critics and analysts: Technology transfer remains a sensitive issue; previous UK-India defence deals have faced delays over intellectual property and cost. The missile and propulsion programmes must prove they can deliver on schedule and within budget to sustain momentum.

What to Watch

Formal signing of the two IGAs and the timing of the LPD tender.
Progress on the AMCA jet engine partnership, including any announcement of a joint venture or technology access agreement.
Expansion of IFEP beyond the initial four LPDs to other Indian Navy vessels, indicating long-term adoption.

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