Rolls-Royce is actively seeking final clearance from India’s Ministry of Defence (MoD) to begin domestic manufacturing of propulsion engines for the Arjun Main Battle Tank (MBT) and a new generation of combat vehicles.

This initiative represents a strategic shift from the previous global sourcing model to deep localisation of core propulsion systems within India’s defence manufacturing ecosystem.​

The company has partnered with two Indian defence Public Sector Undertakings (PSUs) to facilitate the localisation of the MB838 engine, which powers the Arjun tank. Alongside this, Rolls-Royce aims to develop its Series 199 engine family for use in light tanks, future infantry combat vehicles (FICV), future-ready combat vehicles (FRCV), and heavy motor vehicles (HMVs).

The Series 199 engines, which provide power ratings ranging from 450 to 1,500 horsepower, are already deployed globally in platforms such as the UK Boxer and the US Army M10 Booker.​

Rolls-Royce is committed to a full transfer of technology, including intellectual property rights, which will enable complete local assembly and production capability in India, reducing dependency on foreign suppliers.

The localisation goal initially targets achieving 27 to 30 percent Indian content for the Series 199 engines, with plans to progressively exceed the Indian Defence Ministry’s mandated minimum local content of 50 percent under the 'Make in India' defence category.​

The company is in dialogue with major Indian private sector firms such as Larsen & Toubro, Tata, and Mahindra to integrate these localized engines into upcoming platforms, although final selections will be guided by MoD procurement regulations. In parallel, Rolls-Royce is advancing localisation plans for its high-end Series 4000 naval engines with identified Indian industrial partners to support future Indian Navy projects.​

Rolls-Royce boasts a longstanding relationship with India’s defence sector, with over 1,400 engines powering Indian military aircraft, tanks, and naval vessels. Specifically, about 650 Rolls-Royce propulsion systems operate within naval ships, Coast Guard vessels, and the Arjun tank fleet. For instance, generators supplied by Rolls-Royce power P-17 Alpha-class frigates and anti-submarine warfare vessels.​

Alongside the Rolls-Royce initiative, Indian defence establishments like the Combat Vehicles Research and Development Establishment (CVRDE) are also working on indigenous engine development efforts for the Arjun tank, which will provide greater self-reliance and lifecycle sustainability for the fleet. These efforts are crucial as production delays from German engine suppliers have accelerated the need for Indian manufacturing solutions.​

Rolls-Royce’s localisation drive aligns with India’s broader defence self-reliance vision (Atmanirbharta) by facilitating technology transfer, fostering partnerships with Indian PSUs and private firms, and ultimately establishing a robust local supply chain for advanced defence propulsion technologies.​

This move is expected to significantly enhance India’s strategic autonomy in armoured land systems and naval propulsion, strengthening national security while generating indigenous industrial capabilities in the defence manufacturing domain.​

Rolls-Royce’s push for in-country production of Arjun tank engines and new combat vehicle propulsion systems marks a transformative step in India’s defence manufacturing landscape. This initiative promises to reduce import dependencies, empower Indian industry through technology transfer, and support upcoming armoured platforms with advanced, locally produced powerplants.​

Based On Business Line Report