A significant controversy has erupted between Karnataka and Andhra Pradesh over the future expansion and location of key defence manufacturing projects under Hindustan Aeronautics Limited (HAL), India’s premier aerospace and defence company.

The dispute centres on recent proposals by Andhra Pradesh Chief Minister N. Chandrababu Naidu, who has advocated for setting up new HAL facilities in his state, particularly for the production of the Light Combat Aircraft (LCA) TEJAS and the Advanced Medium Combat Aircraft (AMCA).

The roots of the conflict lie in Andhra Pradesh’s offer of 10,000 acres of land in the Lepakshi-Madakasira region of Anantapur district—just about an hour from Bangalore’s airport—as a potential site for future HAL manufacturing units.

Naidu has positioned this proposal as a solution to Bengaluru’s space constraints and as a way to leverage the region’s proximity to HAL’s existing infrastructure, thereby supporting the expansion of India’s indigenous defence capabilities. Andhra Pradesh has also proposed additional land in Orvakal, Kurnool district, for manufacturing military drones, robotics, and advanced defence components.

However, these suggestions have triggered a strong backlash from Karnataka’s political leadership. The state government, led by Chief Minister Siddaramaiah and Deputy Chief Minister D.K. Shivakumar, has firmly rejected any possibility of relocating existing HAL facilities from Bengaluru and Tumkur, where HAL’s main production units are currently located.

Karnataka leaders have emphasised HAL’s historical significance to the state, noting that it was established in Bengaluru by former Prime Minister Jawaharlal Nehru due to the availability of technical expertise and infrastructure. They have also highlighted that the state has already provided land for HAL’s expansion, including a helicopter unit in Tumkur, and is prepared to offer more if needed.

The Karnataka government has stated that while it does not object to Andhra Pradesh setting up new manufacturing hubs, it will not allow the relocation of existing HAL projects from Karnataka to Andhra Pradesh. Karnataka’s Minister for Large and Medium Industries, M.B. Patil, has announced plans to meet with central government leaders, including the Defence Minister, to safeguard the state’s interests and investments in HAL.

He has also clarified that no chief minister has the authority to relocate HAL’s existing facilities, and that any decisions regarding expansion or new units will be based on merit and strategic considerations.

The broader context of the dispute reflects both economic aspirations and regional pride. For Andhra Pradesh, attracting HAL’s future manufacturing projects would boost its ambitions to become a defence manufacturing hub, generate employment, and stimulate economic growth. For Karnataka, HAL is not only a source of pride but also a cornerstone of its industrial and technological identity, making the defence of its existing assets a political priority.

The feud between Karnataka and Andhra Pradesh over HAL is driven by competing visions for the future of India’s defence manufacturing sector, with both states seeking to leverage their strengths and secure a larger share of high-value defence projects. While Andhra Pradesh aims to expand HAL’s footprint within its borders, Karnataka is determined to protect and build upon its established status as the home of HAL’s core operations.

Agencies