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Published Mar, 08, 2025

India To Strengthen Tank Fleet With $248M Russian Purchase

NEW DELHI — India inking a $248 million deal with Russia on March 7, 2025, to purchase advanced engines for the T-72 battle tanks. The deal, signed with Russia's Rosoboronexport, is designed to upgrade the tank fleet of the Indian Army. The incident occurred in New Delhi to increase battlefield capacity.

India To Strengthen Tank Fleet With $248M Russian Purchase

Under the terms of the deal, the existing 780 horsepower engines will be replaced with new 1,000 horsepower versions. This upgrade is aimed at providing improved speed and power to the army’s 2,500 T-72 tanks. It also provides a technology transfer to India, facilitating local production, a centerpiece of the “Make in India” plan.

Why This Deal Matters

T-72 tanks, which began entering the Indian armed forces in the 1970s, were the mainstay of its armored forces. They were originally manufactured by the Soviet Union and later produced in India at the Heavy Vehicles Factory in Avadi, outside Chennai. These tanks have been upgraded over the years, but their engines need a modern kick.

The $248 million contract replaces weak engines with stronger ones. The Indian Defense Ministry states that it will enhance “battlefield mobility and offensive capability.” An army that needs to maintain this edge, particularly with tensions simmering along its borders with Pakistan and China.

The agreement also brings Russia’s tech to India. Armored Vehicles Nigam Ltd. at Chennai — will also be taught how to manufacture these engines locally. This action reduces reliance on foreign vendors and is more cost effective in the end. It’s a major victory for India’s drive to produce more defense equipment domestically.

A Long Partnership Evolves

India and Russia have exchanged arms for decades. Russia has long been India’s largest weapons supplier, but its share has declined in recent years. The war in Ukraine has taxed Russia’s supply, driving India to search westward for alternatives such as the U.S. Still, this deal demonstrates that their bond is as strong as ever.

“The T-72 upgrade will bring about faster and tougher tanks for us,” said a Defense Ministry official, who requested not to be identified. “It is a step ahead for our forces and for our industry.” The technology transfer would allow local production to begin relatively quickly, the official said.

The Indian Army operates some 2,400 T-72 tanks, along with 1,300 T-90S tanks, also Russian design. This is an agreement for T-72s, but future plans include the gradual substitution of these engines with new combat vehicles until the year 2030. In the interim, this engine swap keeps these tanks in the fight.

LOOKING AHEAD: CHALLENGES AND OPPORTUNITIES

This deal comes as India weighs old relationships against new aspirations. The country is the largest arms buyer in the world, but it is looking to produce more in-country. This is propelled by the Modi government’s “Make in India” initiative. Working with Russia here fits that vision.

Yet, challenges loom. Russia’s war in Ukraine has cast doubt on the reliability of its supplies. India has already begun purchasing from the U.S., such as drones and helicopters. This deal with Russia would falter if global tensions escalate. Even so, the tech transfer provides a safety net by enhancing India’s own skills.

What Next for the Tanks of India?

The $248 million deal is a clear shift to bolster up India’s defenses in the present. It also lays the ground for more homegrown military tech. If domestic production succeeds in India, the country could save millions and jumpstart its industry. The army gets an immediate boost, the country plans for the long term.

The Future: Tank Fleet Modernization The T-72s might be phased out by 2030, to be succeeded by next-generation vehicles. Until then, these new engines are keeping them rolling strong. This agreement with Russia ties short-term muscle to long-term prosperity, a savvy move for an up-and-coming global actor.

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