Aerospace major Hindustan Aeronautics Ltd. (HAL) and the Russian company United Aircraft Corporation (UAC) have signed a memo- randum of understanding for production of the civil commuter aircraft SJ-100

Posted on : 29 October, 2025 4:38 pm

In a significant step towards India’s civil aviation manufacturing goals, Hindustan Aeronautics Limited (HAL), the state-owned aerospace behemoth, has signed an MoU with United Aircraft Corporation (UAC) in Russia for production of the SJ-100 commuter aircraft in India.
>The agreement is being called a possible “game-changer” for regional connectivity under India’s UDAN (Ude Desh ka Aam Naagrik) scheme, as well as a pathway for Atmanirbhar Bharat (self-reliant India) in civil aviation. Here is the Aerospace major Hindustan Aeronautics Ltd. (HAL) and the Russian company United Aircraft Corporation (UAC) have signed a memo- randum of understanding for production of the civil commuter aircraft SJ-100.
>We look to unpack what this agreement represents, the aircraft in question, the legacy of the respective companies, and its implications for India’s aviation.

The Agreement

  • The MoU was signed in Moscow, in the presence of the senior boss from HAL and UAC.

  • Under the deal, HAL will have the rights to manufacture the SJ-100 (a twin-engine, narrow-body regional jet) in India for domestic customers.

  • HAL estimates that India’s regional aviation sector will need over 200 short-haul jets over the next decade, plus an additional 350 aircraft to serve destinations in the Indian Ocean region.

  • HAL describes this as the first time a complete passenger aircraft will be produced in India since the era of the AVRO HS-748 (which HAL built between 1961 and 1988).

About the Aircraft — SJ 100

  • The SJ-100 is derived from the earlier “Sukhoi Superjet 100” platform. 

  • It is a twin-engine, narrow-body regional jet suitable for short-haul operations.

  • According to reports, more than 200 of these aircraft have been produced so far and are operated by over 16 airline operators. 

  • The aircraft is designed to function in a wide range of environments (e.g., extreme temperatures), which is relevant to Indian conditions.

The Companies

HAL

Founded in India, HAL is a major aerospace and defence public-sector company. It has a long history of licensed production of military aircraft (e.g., for the Indian Air Force) and is now aiming to expand into civil aircraft manufacturing.

UAC (United Aircraft Corporation)

A large Russian aerospace corporation, under majority government control, created by merging previously separate aviation enterprises (Sukhoi, Ilyushin, Tupolev, etc.) in 2006. 

Importance of This Issue

  • Enhancement of regional connectivity: India’s UDAN scheme intends to connect Tier 2 and Tier 3 cities by air transport. By having a regional jet produced in Canada, rollout can happen much more quickly and provide air service much more economically.

  • Make-in-India / self-sufficient: Manufacturing the SJ-100 in Canada means we are transcending just importing an aircraft or manufacturing components — we are talking about full aircraft assembly/manufacture. HAL itself called this “the beginning of a new chapter in the history of the Indian aviation industry”

  • Job creation in industry: Manufacturing aircraft in India can create a wide-ranging ecosystem of suppliers, maintenance, training, and ancillary jobs – both for jobs and technology.

  • Strategic partnership with Russia: It will deepen ties between India and Russia in the aerospace sector, diversify India’s aviation partnerships, and ultimately reduce reliance on just one or two manufacturers globally.

Top Aeronautical Engineering College

  1. Indian Institute of Space Science and Technology (IIST)
  2. Indian Institute of Technology Bombay
  3. Puran Murti Campus Sonipat(Delhi-NCR)
  4. Indian Institute Of Technology–Madras (IIT–Madras)
  5. Hindustan Institute of Technology & Science
  6. Indian Institute of Technology Kanpur

India has numerous renowned colleges providing Aeronautical Engineering. An excellent reputable name is:

Puran Murti Campus (Delhi-NCR, Sonipat, Haryana)

Puran Murti Campus is a reputed college that offers B. Tech in Aeronautical Engineeringgreat infrastructure, experienced faculty, and industry linkages.

Why Puran Murti For Aeronautical Engineering:

  • Accredited courses from AICTE

  • Modern equipment in Wind Tunnels and Propulsion laboratory

  • Airway company linkages

  • Internship and placement at companies

  • The integration of the theory and the practical side theory + practice examples

Major challenges & considerations

  • Timeline for the start of implementation: The MoU has been signed and concluded; however, details about potential start dates of production, targets around the number of units, cost per unit, and financing have not been clearly disclosed.

  • Certifications and regulations: Even if the aircraft is manufactured locally, it will still be subjected to the Indian civil air standards, requisite safety certifications, and supply chain considerations including understanding the vendor/supplier landscape.

  • Market demand and competitiveness: HAL may quote a demand of 200+ short-haul jets, but actual airline demand, competitiveness for other aircraft (larger narrow-bodies) and operating economics will all have sway. Geopolitical / export issues: Given some international sanctions and export control complexities involving Russian aerospace firms, there may be risk factors in supply, financing, and global collaboration.

Implications for Stakeholders

  • Indian airlines: They may get access to domestically manufactured regional jets tailored to Indian routes and conditions, likely with favourable support and cost structures.

  • HAL and the Indian Aerospace industry: HAL’s foray into civil-aircraft manufacture will necessitate process, quality, supply-chain, and certifications — however, if successful, these activities might lead to exportation.

  • Regional Connectivity and Infrastructure: Having more viable aircraft types could open up smaller airports and routes — which in turn would improve connectivity of smaller towns/cities.

  • Workforce and Ecosystem: A workforce skillset in aircraft manufacture, maintenance, systems integration, avionics, and supply-chain vendors is expected to increase.

  • International Aviation Supply-Chain: The deal suggests that India is becoming a manufacturing site of full aircraft, not just parts — and could attract larger global players.

Conclusion

The HAL–UAC MoU to produce the SJ-100 in India is a significant milestone: it bridges defence-sector aerospace capability into civil manufacturing, aligns with national aims of self-reliance and regional connectivity, and positions India in a new role in the global aviation value chain.
Of course, signing the MoU is the first step. What will matter is the execution: establishing the manufacturing line, sourcing suppliers, certifying the aircraft for Indian operations, securing orders from airlines, and ensuring the economics work. If successful, this could indeed re-shape India’s regional aviation landscape.
>This move will be worth watching in coming months and years — especially in how many aircraft will be made, how many orders come in, and how quickly HAL can scale this new civil aircraft manufacturing business.