Archive · 15 Aug 2026
Indian defence firms expanding into Europe's defence market
India makes lots of things, and now it is selling military and defence equipment to countries in Europe.
Europe is buying more military gear because of a big conflict between Russia and Ukraine.
It also wants to be ready if the United States changes its security promises.
A company called Kotak studied this and wrote a report about it.
India already sold ammunition to the Czech Republic and artillery shells to France.
French fighter jets like the Rafale even have parts made in India.
Indian companies are working with big European companies like Airbus, Dassault and Rheinmetall.
India made a rule that foreign companies must build at least half of their equipment inside India.
That rule helped India build new factories and skills.
Now Indian companies are ready to sell their products to Europe and the rest of the world.
Europe is emerging as a key destination for Indian defence exports as the continent raises military spending amid the Russia-Ukraine conflict and changing US security commitments, according to Kotak Institutional Equities.
The Czech Republic procured Indian ammunition in 2023, including 80,000 rounds of 120mm mortar ammunition and 50,000 rounds of 125mm tank shells from Munitions India Limited.
France received India's first-ever export of 100,000 155mm M107 artillery shells in 2024 and was the top buyer of Indian defence technology through offsets.
Indian firms including Tata Advanced Systems, Reliance Defence, Bharat Forge and Mahindra Defence have partnered with European majors Dassault, Airbus and Rheinmetall.
Kotak identifies ammunition, missiles, aerospace components, UAVs, defence electronics and jet engines as growth areas, with Greece interested in BrahMos and Armenia ordering the Akash system.
- Who
- Indian defence companies such as Tata Advanced Systems, Reliance Defence, Bharat Forge and Mahindra Defence, along with European majors Dassault, Airbus and Rheinmetall; the analysis comes from Kotak Institutional Equities.
- What
- Indian defence firms expanding into Europe's defence supply chain through ammunition exports, technology partnerships and manufacturing deals.
- When
- Export deals were reported in 2023 (Czech Republic) and 2024 (France), while partnerships date back to the 2016 Rafale programme.
- Where
- India and Europe, with the Czech Republic and France among the early buyers.
- Why
- Europe is increasing military spending amid the Russia-Ukraine conflict and changing US security commitments.
- Source report
- Kotak Institutional Equities 'Aerospace & Defense – India'
- Czech Republic order (2023)
- 80,000 rounds of 120mm mortar ammunition and 50,000 rounds of 125mm tank shells from Munitions India Limited
- France order (2024)
- First-ever export of 100,000 155mm M107 artillery shells from an Ordnance Factory
- Indigenous content requirement
- Minimum 50% under the Defence Acquisition Procedure 2020 Buy (Global – Manufacture in India) category
- Rafale partnership
- 2016 programme involving Dassault Aviation and MBDA; Dassault Reliance JV in Nagpur plus around 30 Indian MSMEs
- M777 howitzer programme
- Mahindra-BAE Systems facility assembled more than 120 gun kits locally
- Missile interest
- Greece interested in BrahMos; Armenia ordered India's Akash surface-to-air missile system
- Growth segments
- Ammunition, missiles, aerospace components, UAVs, defence electronics and jet-engine technology