Andhra Pradesh to Host India's Fifth Generation Stealth Fighter Jet Production

Andhra Pradesh is gearing up to become a key player in defense manufacturing with the establishment of a facility for India's fifth generation stealth fighter jets. The state government has approved 600 acres of land for the project, which is expected to attract an investment of ₹1 lakh crore. This initiative follows a request from Chief Minister N. Chandrababu Naidu to the Defence Minister and aims to enhance local industry while positioning the state as a defense hub. The project involves collaboration with major companies and is strategically located near Bengaluru, ensuring efficient operations. This development marks a significant shift in India's aerospace landscape.

By Narendra Chaudhary May 3, 2026, 14:14 IST

New Defense Hub in Andhra Pradesh

The state of Andhra Pradesh is set to become the production site for India's fifth generation stealth fighter jets, with the state cabinet approving the allocation of 600 acres of land to the Defence Research and Development Organization (DRDO). This facility is expected to manufacture around 140 Advanced Medium Combat Aircraft (AMCA). According to officials from the central government, this project is anticipated to attract an investment of approximately ₹1 lakh crore.

Background of the Project

This decision follows a request made by Andhra Pradesh Chief Minister N. Chandrababu Naidu to Defence Minister Rajnath Singh to establish an AMCA production unit in the state, which was reported by media outlets on May 24, 2025. Sources indicate that the system design, testing, and module assembly for the AMCA will take place at the Aeronautical Development Agency (ADA) facility in Bengaluru, which operates as an autonomous body under DRDO.

Proximity to Bengaluru

Modules will be transported to Puttaparthi, located about 50 kilometers from the Karnataka border in the Sri Sathya Sai district. The final assembly of prototypes and ground testing will occur at this site. The state government has provided land free of charge for the construction of a flight testing complex, housing for scientists, and a production facility. ADA will partner with private firms for production, with Tata Advanced Systems, L&T, and Bharat Forge selected for the development and manufacturing of the AMCA.

Why Puttaparthi is Ideal

Officials noted that Puttaparthi's easy access to an airstrip and well-coordinated airspace contributed to its selection for the AMCA unit. A senior government official, speaking on condition of anonymity, mentioned that a dedicated flight testing range is essential for the AMCA facility. Plans include an assembly line close to the flight path, which would expedite development and execution of the project.

Political Implications

Last year, Naidu's initiative to establish the AMCA facility in Andhra Pradesh sparked a political debate, as the Congress-led Karnataka viewed it as an attempt to divert aerospace manufacturing from Hindustan Aeronautics Limited (HAL) in Bengaluru. With the establishment of this manufacturing unit, Naidu has secured a significant win, while HAL has been sidelined in the race for next-generation fighter jet production.