Tamil Nadu has secured a landmark investment in its aerospace and defence sector with Aequs poised to establish India's first vertically integrated aircraft engine manufacturing facility.

The project, backed by a whopping ₹4,000 crore commitment, will span a sprawling 250-acre site at SIPCOT Shoolagiri in Krishnagiri district.

The Tamil Nadu government formalised this ambitious venture through a memorandum of understanding (MoU) signed with the Aequs Group. Chief Minister M K Stalin witnessed the agreement at the Secretariat in Chennai on Monday, underscoring the state's drive to become a hub for high-tech manufacturing.

Industries Minister TRB. Rajaa hailed the initiative on social media as a game-changer. He emphasised that it marks India's inaugural fully integrated aircraft engine production project, complete with facilities for engine and gearbox components.

This development will anchor a brand-new Aerospace and Defence Park. Shared industrial infrastructure will enable seamless production and export operations, positioning the cluster as a cornerstone of India's aero-engine ecosystem.

Job creation forms a key pillar of the project, with expectations of generating 7,000 direct and indirect positions. Such opportunities will bolster local economies in Krishnagiri and surrounding areas, fostering skill development in precision engineering.

In a parallel boost, the state inked another MoU with NMB-Minebea India Private Limited for ₹1,980 crore. This investment targets Tiruvallur district, enhancing Tamil Nadu's precision engineering and electronics capabilities.

Minebea Mitsumi, the parent Japanese conglomerate, operates in 28 countries and supplies vital components to automotive, industrial, and electronics sectors globally. Minister Rajaa noted how Japanese firms continue to place unwavering trust in Tamil Nadu's industrial ecosystem.

The NMB-Minebea project will deepen integration into global supply chains. It reinforces the state's reputation as a prime destination for advanced electronics manufacturing, complementing the Aequs endeavour.

These MoUs reflect Tamil Nadu's strategic push towards indigenous defence manufacturing and aerospace innovation. By attracting marquee investors, the state aligns with national goals like Atmanirbhar Bharat in critical technologies.

The Aequs facility promises to elevate India's self-reliance in aircraft engines—a domain long dominated by imports. Precision manufacturing here could supply HAL, DRDO projects, and even international partners, catalysing export growth.

Challenges such as skilled labour shortages and supply chain logistics loom, yet Tamil Nadu's robust SIPCOT infrastructure and proximity to Bengaluru's aerospace corridor offer advantages. Government incentives will likely accelerate implementation.

These investments signal Tamil Nadu's ascent as India's aerospace powerhouse. They not only promise economic ripple effects but also strategic autonomy in defence hardware.

Agencies