Rolls Royce aims to expand into India through MRO.

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The firm is looking to capitalize on MRO of engines, aero gas turbine manufacturing as well as SMRs in India to increase its footprint.

A leading British engineering firm, Rolls-Royce, is considering several long-term options in India, among which include building a civil aviation engine maintenance, repair and overhaul (MRO) shop, setting up of aero gas turbines manufacturing plant, as well as engaging in the nation’s nascent SMR market. These strategies are indicative of the company’s intention to extend its reach in the aerospace, defense and energy industries in the country.

As per Sashi Mukundan, Rolls-Royce’s Executive Vice President, Transformation India, there has been a high demand for engine MRO due to expansion of India’s airline sector. Given that both Air India and IndiGo have committed orders for Airbus A350 jets that run Rolls-Royce engines, the need to set up an MRO facility becomes apparent. Currently, engines from India undergo servicing in Singapore and Hong Kong.

Discussion on MRO and engine development:

According to Rolls-Royce, the establishment of an MRO facility for its engines in India is a question of when and not whether it will take place as they expect increasing volumes of the engines in the country in the coming years. There are currently about 100 civil aviation engines deployed in India by Rolls-Royce, both for commercial airliners and business jets.

In addition to the MRO facility plans, there are also proposals by Rolls-Royce for building an aero gas turbine facility in India that would include technology transfer assistance provided by the UK government. The proposed facility would begin manufacturing engines for military applications with subsequent expansion for dual and civil aviation purposes as well.

Examining the possibilities within nuclear energy:

Moreover, Rolls-Royce has started examining possibilities in the field of nuclear energy in India due to some new policy changes in the country. It has been confirmed by Rolls-Royce that the company is exploring opportunities relating to the deployment of small modular reactors, which have gained popularity around the world as alternate sources of energy.

Rolls-Royce has a notable presence in India in the fields of aerospace, defense, and power systems, having collaborations with many entities such as Hindustan Aeronautics Limited and Force Motors. Moreover, it has also recently added to its capabilities for producing jet engines by adding a joint venture facility in Hosur in the state of Tamil Nadu.

If opportunities arise in all three areas as expected, Rolls-Royce foresees that billions of dollars could be invested, resulting in more than 10,000 jobs being created.

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