Trade ties: Boeing says Indian operations unaffected by tariff tensions; plans more local investments under ‘Make in India’ push – The Times of India

US aerospace giant Boeing has downplayed concerns that trade frictions between India and the US could hurt its business, saying tariff disputes will not impact its commercial or defense activities in the country, ET reported.Salil Gupte, president of Boeing India, said the company continues to view India as an important market for growth and industrial partnership, even as Washington’s tariff measures have caused unrest across sectors. “Aerospace and defense should be in a zero-for-zero tariff environment,” Gupte said, noting that Boeing has conveyed this position to all governments involved in trade negotiations.Boeing, which has built a strong presence in India in both commercial and defense aviation, manufactures Apache helicopter fuselages and other aerospace structures in Hyderabad and produces composite assemblies for its 737 MAX, 777X and 787 Dreamliner aircraft.

‘Win-win’ for both countriesGupte said Boeing’s operations in India reflect a strategic alignment between the industrial objectives of both governments. “Aerospace industrialization in India is a priority not only here but also for the United States. It remains a win-win situation for both countries even through these trade negotiations,” he told ET.Localization is at the heart of Boeing’s India planThe company is now expanding investments in local capabilities, including setting up a pilot training facility with Air India and ramping up maintenance, repair and overhaul (MRO) operations to sustain more aviation spend within the country.“Localization of ecosystem capabilities is a priority because only with that localization can our airline customers grow profitably,” Gupte said. Boeing has also urged its global partners such as GE, Rolls-Royce, Honeywell and Pratt & Whitney to develop more capacity in India to serve local airlines.Government officials told ET that large Indian orders for aircraft and engines from US companies also help reduce the trade surplus India has with Washington.Orders and production prospectsBoeing, which won hundreds of jet orders this year from airlines in Indonesia, Japan, Bahrain, Saudi Arabia and Qatar, has also seen strong Indian demand. Air India and Akasa Air have jointly ordered 590 aircraft, which will be delivered over the next ten years.While Boeing continues to trail Airbus in terms of overall order size, the outlook is improving as the US Federal Aviation Administration approved a production increase from 38 to 42 aircraft per month, enabling faster deliveries to Indian customers.“There is no restriction for any Indian company to do more business with any US company,” a senior government official told ET, underscoring the resilience of the defense and aviation partnerships between the two countries.Praveen Iyer, Chief Commercial Officer of Akasa Air, said the airline expects a steady supply of aircraft. “We have confidence in this collaboration,” he says.