military transport aircraft

Executive Summary: India has issued a major tender for 60 multirole transport aircraft for the Indian Air Force, in a program expected to be worth roughly ₹1 lakh crore, or about $10 billion. The procurement calls for 12 aircraft to be delivered in fly-away condition and 48 to be manufactured in India with more than 60 percent indigenous content, putting industrial participation alongside aircraft performance at the center of the competition.

India Opens 60-Aircraft Multirole Transport Competition

India has issued a tender for 60 multirole transport aircraft for the Indian Air Force as New Delhi moves to replace aging Soviet-origin transport aircraft and strengthen tactical and strategic airlift capacity. Indian defense officials cited in reports said the tender has been issued to Indian companies including Hindustan Aeronautics Limited, Tata and Mahindra, with Indian industry expected to play a leading role.

The program follows the Defence Acquisition Council’s March 2026 approval of the 60-aircraft Medium Transport Aircraft requirement. The acquisition is intended to address a long-standing requirement to modernize the IAF’s transport fleet and improve the ability to move troops, equipment and supplies across India’s geographically demanding operating environment.

The three aircraft most prominently associated with the competition are Embraer’s C-390 Millennium, Lockheed Martin’s C-130J Super Hercules and Airbus’ A400M Atlas. Technical evaluations of the competing proposals were reported as completed in July, bringing the program closer to the selection and contracting phase.

A Major Shift Toward Domestic Production

The structure of the tender is significant because India is not simply seeking an off-the-shelf transport aircraft purchase.

The reported requirement calls for 12 aircraft to arrive in fly-away condition, representing about 20 percent of the fleet. The remaining 48 aircraft are to be manufactured in India, with more than 60 percent indigenous content.

That arrangement creates a substantial industrial requirement for the winning manufacturer and its Indian partner. It also means the competition will involve production engineering, supplier development, maintenance and long-term sustainment, rather than aircraft price and performance alone.

For India, the potential industrial benefit is considerable. A domestic production line for a large military transport aircraft could support local component manufacturing, maintenance, repair and overhaul capabilities and skilled aerospace employment over several decades.

The program also follows India’s broader effort to increase domestic aerospace production. The Airbus-Tata C295 program has already established a precedent for manufacturing a foreign-designed military transport aircraft in India.

C-390, C-130J And A400M Bring Different Capabilities

The three aircraft occupy overlapping but distinct positions within the military airlift market.

Source: manufacturer and U.S. Air Force specifications.

Embraer C-390 Millennium

The C-390 is the newest aircraft in the competition and offers a combination of relatively high payload and jet speed.

Embraer’s published specifications give the aircraft a maximum concentrated payload of 26 metric tons, a maximum cruise speed of 470 knots, or Mach 0.80, and a cargo hold measuring approximately 18.5 meters long, 3.45 meters wide and 2.95 meters high.

The aircraft is designed for cargo and troop transport, airdrop operations, medical evacuation, search and rescue, firefighting and humanitarian missions. It can also operate from temporary and unpaved runways.

For the Indian competition, Embraer has already established an industrial partnership with Mahindra Group. The companies have announced plans to develop C-390 manufacturing and MRO capabilities in India if the aircraft is selected for the MTA program.

Lockheed Martin C-130J Super Hercules

The C-130J brings a different advantage: operational maturity and an established Indian user base.

India already operates C-130J aircraft, primarily for special operations and tactical airlift missions. Lockheed Martin also offers the stretched C-130J-30, which provides additional cargo space compared with the standard aircraft.

According to the U.S. Air Force, the C-130J has a maximum allowable payload of 19,090 kilograms, while the C-130J-30 is rated at 19,958 kilograms. The C-130J-30 can carry up to 128 combat troops or 92 paratroopers under the listed maximum-load configuration.

The platform’s existing presence in India could reduce some transition requirements, particularly in areas such as crew training, maintenance practices, logistics and operational familiarity.

However, the C-130J’s payload capacity is lower than the C-390 and substantially below the A400M. That makes payload requirements and the exact missions envisioned for the new fleet especially important in the eventual evaluation.

Airbus A400M Atlas

The A400M sits at the upper end of the competition.

Airbus lists a 37-ton maximum payload, a 340-cubic-meter cargo hold and a maximum cruise speed of Mach 0.72. It can carry significantly heavier and larger loads than conventional medium tactical airlifters and is designed to operate from short and unpaved runways.

The aircraft can carry 20 tons to about 3,400 nautical miles and has a maximum payload range of about 1,780 nautical miles, according to Airbus specifications.

Its larger cargo compartment gives the A400M a major advantage when transporting bulky equipment. The tradeoff is that India would be acquiring an aircraft considerably larger than the C-130J and C-390.

Why Payload And High-Altitude Operations Matter

India’s transport requirements are unusually demanding because the IAF must support operations across the Himalayas, deserts, plains and island territories.

The aircraft will need to provide more than conventional strategic cargo movement. Its value will depend heavily on its ability to operate from forward airfields, carry useful payloads in demanding environmental conditions and sustain repeated tactical missions.

High-altitude operations are particularly important. Aircraft performance at high elevations is affected by air density, temperature, runway length and payload, making nominal maximum payload figures insufficient for judging suitability.

This is one reason the final evaluation is likely to depend heavily on operational testing rather than brochure specifications.

The aircraft also needs to occupy the capability space between India’s smaller tactical transports and its heavier strategic airlifters. The objective is not simply to obtain another cargo aircraft, but to create a flexible fleet capable of supporting routine logistics as well as rapid military movement.

Industrial Competition Could Be As Important As Aircraft Performance

The 60 percent indigenous-content requirement changes the commercial equation for the three manufacturers.

A successful bidder would have to establish or expand an Indian production ecosystem capable of supporting the aircraft throughout its service life. That includes manufacturing, quality control, component sourcing, maintenance and potentially engine and systems support.

For Embraer, the Mahindra partnership gives the C-390 campaign a defined Indian industrial framework.

Lockheed Martin has an established relationship with Tata Advanced Systems, while the C-130J already operates within the IAF. That provides the U.S. manufacturer with an existing Indian industrial and operational foundation.

Airbus also has a significant Indian industrial presence through the C295 program, which could provide an existing base for further aerospace manufacturing cooperation.

The winner will therefore be judged not only on the aircraft delivered but also on the credibility of its proposed Indian production system.

Strategic Importance For The Indian Air Force

A 60-aircraft fleet would provide a major increase in India’s medium airlift capacity and improve the IAF’s ability to move personnel, equipment and supplies without relying entirely on its heavier transport fleet.

The program also has wider strategic significance.

For India, domestic production could reduce dependence on imported aircraft and create greater control over long-term sustainment. It could also give Indian aerospace companies experience with complex military aircraft production at a scale beyond individual components.

For the United States and its defense industry, the competition is significant because the C-130J represents another opportunity to expand the U.S.-India defense industrial relationship. India already operates several U.S.-origin platforms, including C-17 and C-130J aircraft, while Washington and New Delhi have increasingly emphasized interoperability and defense technology cooperation.

The C-390 offers a different industrial proposition, potentially strengthening India’s aerospace relationship with Brazil and expanding Embraer’s manufacturing footprint in Asia.

The A400M, meanwhile, would connect India’s military airlift fleet to a European multinational program with substantial existing experience in tactical and strategic transport.

The Decision Will Extend Beyond The Initial 60 Aircraft

The immediate requirement is 60 aircraft, but the industrial implications are likely to last much longer.

A domestic assembly line, supplier network and MRO infrastructure created for the program could support additional aircraft, upgrades and sustainment over the fleet’s service life. That makes the initial selection potentially more consequential than the number of aircraft in the current tender suggests.

The competition will ultimately test three different approaches to Indian airlift modernization.

The C-130J offers an established aircraft and an existing Indian operating base. The C-390 offers a newer jet-powered design with higher payload and speed than the C-130J. The A400M provides substantially greater payload and cargo volume, placing it closer to the heavy tactical airlift category.

The key question for India’s acquisition authorities will be which combination of payload, runway performance, high-altitude capability, operating cost, fleet commonality, industrial participation and long-term support provides the best value.

The tender therefore represents more than a competition for 60 aircraft. It is also a decision about how India intends to build and sustain its next generation of military airlift capability.