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    Home > Headlines > India signs $248 million deal with Russia for advanced battle tank engines
    Headlines

    India signs $248 million deal with Russia for advanced battle tank engines

    Published by Global Banking & Finance Review®

    Posted on March 7, 2025

    1 min read

    Last updated: January 25, 2026

    India signs $248 million deal with Russia for advanced battle tank engines - Headlines news and analysis from Global Banking & Finance Review
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    Tags:technologyinnovationInternational trade

    Quick Summary

    India signs a $248M deal with Russia to upgrade T-72 tanks with 1,000 HP engines, enhancing the Indian Army's capabilities.

    India Secures $248 Million Deal with Russia for Advanced Tank Engines

    NEW DELHI (Reuters) - India has signed a $248 million contract with Russian state arms exporter Rosoboronexport to acquire more powerful engines for its Soviet-era battle tanks, the Indian Defence Ministry said on Friday.

    The T-72 tank, first introduced in India in the 1970s, is the mainstay of the Indian Army's fleet. It operates about 2,500 such tanks fitted with a 780 horsepower (HP) engine.

    The new acquisition of 1,000 HP engines will replace engines of the existing fleet to "enhance the battlefield mobility and offensive capability of the Indian Army", the ministry said in a statement.

    The deal includes transfer of technology from Rosoboronexport to Indian state-owned Armoured Vehicles Nigam Ltd for licensed production of the engines.

    India is the world's largest arms importer and Russia has been its top defence supplier for decades, although Moscow's ability to provide systems was damaged by its war in Ukraine, which has made New Delhi look more westward for suppliers.

    (Reporting by Shivam Patel in New Delhi; editing by Mark Heinrich)

    Key Takeaways

    • •India signs a $248 million deal with Russia for tank engines.
    • •The deal upgrades T-72 tanks with 1,000 HP engines.
    • •Technology transfer to Indian Armoured Vehicles Nigam Ltd.
    • •Russia remains a key defense supplier to India.
    • •India looks westward for suppliers due to Russia-Ukraine war.

    Frequently Asked Questions about India signs $248 million deal with Russia for advanced battle tank engines

    1What is the value of the deal signed by India with Russia?

    India has signed a $248 million contract with Russian state arms exporter Rosoboronexport.

    2What type of tanks will benefit from the new engines?

    The new engines will be used to upgrade the Soviet-era T-72 battle tanks, which are the mainstay of the Indian Army's fleet.

    3How will the new engines improve the Indian Army's capabilities?

    The new acquisition of 1,000 HP engines will enhance the battlefield mobility and offensive capability of the Indian Army.

    4What does the deal include regarding technology?

    The deal includes a transfer of technology from Rosoboronexport to Indian state-owned Armoured Vehicles Nigam Ltd for licensed production of the engines.

    5Why is Russia a significant supplier for India?

    Russia has been India's top defense supplier for decades, although its ability to provide systems has been impacted by its war in Ukraine.

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