Mahindra Aero-Structures Pvt. Ltd. (MASPL), a subsidiary of the Mahindra Group, has secured a significant new contract from Airbus to manufacture the main fuselage of the H125 helicopter.

This milestone, announced on August 28, 2025, further consolidates India’s growing role in the global aerospace supply chain and reinforces the Government of India’s "Make in India" initiative aimed at positioning the nation as a world-class manufacturing hub.

According to the contract, industrialisation work will commence immediately at MASPL’s Bengaluru facility, which already specialises in high-precision aero-structures manufacturing, with the first fuselage deliveries expected in 2027. This contract closely follows MASPL’s April 2025 win of Airbus’ contract to produce fuselages for the H130 helicopter, establishing Mahindra as Airbus Helicopters’ key Indian partner in civil rotorcraft manufacturing.

The fuselage, being the central body structure of an aircraft or helicopter excluding the engine, wings, and tail, is one of the most critical components, requiring unmatched precision, strength, and reliability.

Airbus’ decision to entrust MASPL with such an integral section of two of its most popular helicopters reflects both the technical capabilities of the Mahindra Group and the maturity of India’s aerospace industry. Airbus executives emphasised that the H125 contract, in particular, is not merely an isolated manufacturing agreement but part of a broader strategy to position India at the forefront of global aerospace production.

Jürgen Westermeier, President and Managing Director of Airbus in India and South Asia, remarked that this package—together with the H130 fuselage program and the establishment of Airbus’ new H125 Final Assembly Line (FAL) in India—signals Airbus’ confidence in India as a "critical hub for global aerospace manufacturing."

By aligning multiple initiatives under one umbrella, Airbus underscores that it is building not just helicopters in India, but a complete aerospace ecosystem encompassing supply chains, assembly, maintenance infrastructure, and workforce training.

From Mahindra’s perspective, this partnership significantly strengthens its credentials as one of India’s leading aerospace players and strategically positions the group to play a pivotal role in the country’s expanding aviation sector.

Dr. Anish Shah, Group CEO and MD of the Mahindra Group, reiterated the company’s commitment to advancing the Government’s Make in India mission, highlighting that this long-term collaboration with Airbus exemplifies how Indian companies can successfully integrate with global aerospace giants.

In parallel, Airbus revealed that it currently sources components and services worth about $1.4 billion annually from India, a figure that demonstrates both the scale and sophistication of work being transitioned into the country’s advanced manufacturing sector. This procurement volume is not only significant for Airbus but is also a strong indicator of India’s growing economic and strategic role in global aerospace supply chains.

The importance of this development stretches beyond one contract. The award of fuselage production for both the H125 and H130 helicopters to Mahindra integrates India deeply into Airbus Helicopters’ global production value chain. This move also provides continuity and scalability, enabling India to progressively handle larger and more complex aerospace responsibilities.

Moreover, Airbus’ simultaneous investments—such as the two Final Assembly Lines (for the H125 helicopter and the C295 military transport aircraft in association with Tata Advanced Systems Limited)—are creating an end-to-end aerospace ecosystem in India.

This ecosystem spans design, engineering, advanced material sourcing, manufacture of critical aero-structures, final assembly, maintenance, and training programs. Once fully operational, this integrated framework will support domestic aviation needs while also enhancing India’s role as a global aerospace export base.

The strategic implications are noteworthy on multiple fronts. For the Indian government, this development bolsters national aerospace manufacturing capabilities, aligns with strategic autonomy objectives, and contributes to job creation in high-value sectors.

For Airbus, the collaboration provides a cost-effective and highly skilled production base while granting deeper access to one of the world’s fastest-growing aviation and defence markets.

For Mahindra aero-structures, the new H125 fuselage program cements its reputation as a global-tier aero-structures supplier capable of handling programs of increasing complexity. The move is also expected to catalyse ancillary industries like speciality alloys, composites, avionics, and workforce training in aerospace engineering, thereby stimulating a complete innovation-driven ecosystem.

In essence, the Airbus-Mahindra agreement for H125 fuselage manufacturing marks a strategic leap forward in India’s aerospace journey.

It not only expands Airbus’ presence and investments in the country but also accelerates India’s transformation from being a component supplier to an integrated aerospace producer with end-to-end manufacturing capabilities.

The targeted first deliveries in 2027 will represent not just the culmination of this contract, but also a symbolic milestone in India’s ascent as a trusted partner within global civil and defence aerospace supply chains.

Agencies