France and India Deepen Rafale Fighter Jet Partnership

India Advances $35 Billion Rafale Deal

India is moving closer to a roughly $35 billion agreement with France for 114 Rafale fighter jets, a deal that could transform the country into one of the aircraft’s most important manufacturing centers outside France. The proposal would significantly expand India’s combat fleet while advancing New Delhi’s broader strategy of building more sophisticated defense equipment at home.

Under France’s proposal, the first 20 Rafale fighters would be produced in France, while the remaining 94 could be manufactured in India with local industrial partners. If completed, the arrangement would mark the first time most aircraft in a major Rafale order are produced outside France and would deepen a defense relationship that has become increasingly important to both countries.

The proposed agreement is closely aligned with India’s “Make in India” industrial strategy, which seeks to reduce dependence on imported military equipment while expanding domestic manufacturing and technological expertise. Local production is expected to include substantial technology transfer and could eventually allow Indian companies to participate in the production of airframes, engines, avionics and other sophisticated components.

For India, the acquisition would address an increasingly urgent need to modernize its air force. The Indian Air Force has about 29 fighter squadrons, well below its sanctioned strength of more than 42, as older aircraft are gradually retired. Adding 114 Rafales would provide a significant boost to operational capacity while giving the country a proven multirole platform capable of air defense, reconnaissance, ground attack and maritime operations.

India already operates 36 Rafales with its air force and has continued expanding its commitment to the French aircraft. In April 2025, New Delhi signed a $7.4 billion agreement for another 26 Rafale Marine fighters for the Indian Navy, which are intended for carrier-based operations. The proposed 114-aircraft order would take that relationship to an entirely different industrial scale.

The deal could also reshape India’s aerospace industry. France’s proposal envisions extensive cooperation between European manufacturers and Indian companies, creating opportunities for domestic suppliers while strengthening engineering and manufacturing expertise. Over time, a local Rafale production ecosystem could support thousands of skilled jobs and give India greater capacity to maintain and upgrade sophisticated combat aircraft domestically.

The negotiations are unfolding as military aviation undergoes rapid modernization in other regions, including North Africa. Egypt has emerged as Africa’s largest Rafale operator, with orders totaling 54 aircraft, making the French fighter an increasingly prominent part of the continent’s advanced aviation landscape.

Morocco is also evaluating the next stage of its air-force modernization. Its existing combat fleet is centered on American F-16s, but reports have linked Rabat with possible interest in between 12 and 18 Rafale F4 aircraft. The United States’ F-35 stealth fighter is another potential option, although access would depend on Washington’s approval.

Algeria has chosen a different path. The North African country has acquired Russia’s Su-57E and is set to become the aircraft’s first foreign operator, adding the fifth-generation fighter to a fleet that already relies heavily on Russian-built aircraft. Egypt, Morocco and Algeria are therefore pursuing different strategies as each seeks to strengthen its air capabilities.

For France, a successful agreement with India could provide a significant long-term boost to the Rafale programme. Establishing production capacity in India would expand the aircraft’s industrial footprint while creating another manufacturing base capable of supporting future demand from international customers. It could also deepen cooperation between the two countries on future aerospace and defense technologies.

The proposed deal ultimately extends beyond the purchase of fighter aircraft. By combining military modernization with domestic production and technology transfer, India is seeking to turn one of its largest defense acquisitions into a broader industrial investment. At the same time, growing demand for advanced aircraft from India to North Africa demonstrates how global defense manufacturing is becoming increasingly shaped by partnerships that combine procurement with local production and technological development.