Hindustan Aeronautics Ltd (HAL), India’s leading defence aerospace manufacturer, has announced an ambitious ₹3,000 crore capital expenditure (capex) plan for FY26, aimed at expanding production capacity and investing in new defence projects.
Strategic Investments in Defence Projects
HAL’s capex plan is part of a broader ₹14,000–15,000 crore investment roadmap spanning FY24 to FY29, averaging ₹3,000 crore annually. The company is focusing on key defence initiatives, including:
- LCA Mark 2 fighter jet development
- GE F414 engine manufacturing under Transfer of Technology (ToT)
- Indian Multi-Role Helicopter (IMRH) engine program
- Advanced Medium Combat Aircraft (AMCA) infrastructure
Monetization of Non-Core Land in Delhi
To partially fund its capex drive, HAL is considering monetizing a portion of its five-acre non-core land parcel in Delhi, which includes residential quarters and plant infrastructure. The land is estimated to be valued at ₹300–400 crore, and the Finance Ministry’s Department of Public Enterprises (DPE) is facilitating the monetization process.
HAL’s Role in Operation Sindoor
HAL played a critical role in Operation Sindoor, ensuring the timely maintenance and operational readiness of the Indian Air Force’s fighter aircraft. The company ramped up its repair and overhaul (ROH) capabilities, working closely with the Armed Forces to support mission-critical requirements.
Future Expansion and Infrastructure Upgrades
HAL is also investing in high-value components and materials, including:
- A 20,000-tonne isothermal press
- A 50,000-tonne hydraulic press for aerostructure forgings
- A ₹600 crore carbon fibre facility
With strong government backing and strategic investments, HAL is set to reinforce India’s defence capabilities, ensuring self-reliance in aerospace technology.
