French aircraft manufacturer Dassault Aviation has formally proposed a partnership with the TATA Group to establish a final assembly line for Rafale fighter jets in India, The Print reported.

This would mark the first time the Rafale is assembled outside France, a significant milestone in Indo-French defence cooperation.

The French government’s technical and commercial submission, linked to India’s plan to acquire 114 Rafale fighters, outlines a detailed industrial partnership roadmap. Four major French and European defence companies are mapped to Indian counterparts under this plan.

Missile manufacturer MBDA is expected to partner with Larsen & Toubro. Electronics and avionics giant Thales will collaborate with the Mahindra Group. Engine maker Safran will work with Hindustan Aeronautics Limited.

The partnership with HAL is particularly significant as it will extend beyond Rafale production to include work on India’s Advanced Medium Combat Aircraft program.

The proposed partnerships were submitted as part of France’s response to India’s Letter of Request under the government-to-government procurement process. India received the French proposal on 29 July and is currently examining its details. Sources indicate that most of India’s key requirements have been addressed, though the proposal remains under evaluation.

Officials have stated that the major requirements have been met. If no major clarifications are required, the process will move to cost and contract negotiations. The aim is to conclude negotiations and sign the contract for the 114 fighters before the end of the current financial year.

If finalised, the Indian Air Force will have ordered a total of 150 Rafales—36 already in service and another 114 under the new contract.

Alongside the 26 Rafale M fighters contracted for the Indian Navy, India’s total Rafale fleet on order will rise to 176 aircraft.

The costs proposed by France fall within the Defence Acquisition Council-cleared proposal worth ₹3.25 lakh crore. This aligns with India’s budgetary framework for the acquisition.

The indigenisation roadmap is a key element of the proposal. As reported earlier, the IAF has sought a minimum of 40 percent indigenous content for Rafale F4 fighters manufactured in India, rising to 60 percent in the final production batch.

The French proposal includes a detailed plan to achieve these targets through manufacturing partnerships, technology transfer, and local sourcing.

Dassault has also proposed establishing a Maintenance, Repair and Overhaul facility in India. Over the aircraft’s lifecycle, this could increase effective domestic value addition to nearly 80 percent. Such a facility would significantly enhance India’s self-reliance in sustaining advanced fighter aircraft.

India had decided in April 2025 to pursue the acquisition of 114 Rafales under a government-to-government arrangement. The IAF formally initiated the proposal in the second half of 2025, leading to detailed discussions between New Delhi and Paris. The current submission represents the culmination of those negotiations.

The industrial partnerships with TATA, L&T, Mahindra, and HAL are designed to ensure broad participation of Indian industry in the Rafale project. They also align with India’s long-term vision of building a robust domestic aerospace ecosystem.

Agencies