India has reportedly rejected an offer from the United States to purchase F-35 fighter jets, signaling a shift in defense strategy amid concerns over newly imposed tariffs. The decision comes as President Donald Trump announced a 25% tariff on Indian goods, effective August 1st, a move that has surprised and disappointed officials in New Delhi.
Instead of pursuing off-the-shelf acquisitions, India is prioritizing joint design and domestic manufacturing of defense equipment under the "Make in India" initiative. This approach aligns with the country's long-term vision of fostering indigenous capability development and reducing reliance on imports. During Prime Minister Narendra Modi's visit to Washington in February, Trump personally promoted the sale of F-35A stealth fighter jets, but India has made it clear that it is not interested in such acquisitions.
The Indian government is evaluating its options following the imposition of US tariffs and is seeking to maintain trade relations with its largest trading partner. While immediate retaliation is off the table, India is exploring ways to reduce its trade surplus with the US, potentially by increasing imports of American natural gas, communication equipment, and gold. However, new defense purchases from the US are unlikely. "Despite considering a boost in purchases of American goods, the Modi government is unlikely to buy additional defense equipment from the US, a key demand from Trump," Bloomberg quoted an anonymous official.
This decision reflects a broader trend in India's defense procurement strategy. The country is focused on building international business ventures worth $3.52 billion through increased defense export revenue. To that end, the Ministry of Defence has been greenlighting a record number of defense procurement deals. India's defense budget is projected to reach $415.9 billion between 2025 and 2029, with a significant portion allocated to indigenous military platforms.
Russia has also presented a new proposal that aligns with India's priorities. This includes the Su-57E fifth-generation stealth fighter and the Su-35M multirole air superiority aircraft. The Russian offer includes full technology transfer for the Su-57E, with domestic assembly planned at Hindustan Aeronautics Limited's Nashik plant. Moreover, the Su-35M shares a high degree of component commonality with the Su-30MKI, potentially simplifying logistics and pilot training.
India's reluctance to purchase the F-35 also highlights concerns about technology sharing and domestic production roles. As one official stated, "Buying is not enough—we want to build". This stance underscores India's commitment to self-reliance and its desire to establish itself as a global defense manufacturing hub.
Despite the trade tensions and the rejection of the F-35 offer, diplomatic channels between India and the US remain open. India is still preparing to host the upcoming Quad leaders' summit alongside the US, Japan, and Australia. India's long-term defense roadmap includes key developments such as the induction of Tejas Mk1A fighters and the INS Vagsheer submarine, alongside advancements in indigenous fighter aircraft and missile systems. These initiatives demonstrate India's commitment to modernizing its military capabilities and enhancing operational efficiency.
