India’s defence minister Rajnath Singh said the country intends to order weapons from the domestic arms industry worth over $100bn (£77bn) over the next decade
By Eastern EyeJul 13, 2023
INDIA’S multi-billion-dollar purchases of US arms are less about shifting its reliance on Russian defence equipment and moving towards the West - it’s more about developing its own domestic weapons industry, security officials and analysts say.
India is the world’s biggest arms importer, but almost all of its major weapons purchases now include provisions for joint manufacture or technology transfer, irrespective of which country it is dealing with.
Also, Russia’s war in Ukraine has disrupted some military supplies to India, reinforcing New Delhi’s long-term desire to diversify imports or replace them with home-built hardware, Indian defence officials said.
India bought weapons worth more than $60 billion (£46bn) in the last 20 years, of which 65 per cent or nearly $39bn (£30bn) were from Russia, according to Stockholm International Peace Research Institute data.
Defence minister Rajnath Singh said India intends to order weapons from the domestic arms industry worth over $100bn (£77bn) over the next decade.
“It is a reality, that we have to reduce dependence on Russia,” said a senior Indian defence officer working on future capabilities of the Indian military, who declined to be identified. “But that is part two. The part one is the effort to get out of the import business.” India announced significant purchases of US defence equipment during prime minister Narendra Modi’s state visit to Washington last month, including an order worth more than $1bn (£770m) for GE engines for fighter jets.
Narendra Modi with president Joe Biden and first lady Jill Biden while on a US visit in June
A possible $3bn (£2.3bn) billion deal for MQ-9B SeaGuardian drones is also being discussed. In line with New Delhi’s desire for self-reliance in defence and Modi’s flagship “Make in India” policy, the jet engine deal includes joint manufacturing in the future, while the assembly and maintenance of the SeaGuardians will likely be in India.
The US ambassador to India, Eric Garcetti, said Washington had earlier paid “lip service”, but was now easing India’s access to military technologies. He said the US was “leaning in with technology” sharing more with India than it had with some its closest allies.
However, the moves so far will not be sufficient to end New Delhi’s reliance on Russia while stringent US rules governing the sharing of military technology limit future possibilities for now.
“Nobody gives you everything. They keep you at least a screwdriver away from having it fully,” said a second senior official from India’s defence ministry, who also spoke on condition of anonymity.
Rafale fighter jet
Arzan Tarapore, an Indian security expert at Stanford University, said the deals announced during Modi’s visit “do not in themselves represent an Indian shift away from Russia.”
“A big shift away from Russia will take multiple decades,” he said.
India still uses mostly Russian technology for traditional arms. Tarapore said the biggest potential for US-India collaboration should be on new systems that India doesn’t already have. Delhi’s main aim is to narrow the technological gap with better-armed neighbour China, with which it has a tense relationship, and which is also closely allied with Pakistan.
One problem for India is that Russia’s war in Ukraine has hit Moscow’s ability to deliver weapons and equipment.
A MQ-9B SeaGuardian drone
India’s Air Force recently informed a parliamentary panel that Russia would delay deliveries of spares for Sukhoi Su30 MKI and MiG-29 jet fighter planes. A big-ticket item, believed to be the remaining two of the five Russian S-400 air defence systems India bought for nearly $5.5bn (£4.2bn) in 2018, has also been delayed, it said.
India has also been expecting to receive two nuclear-powered attack submarines from Russia over the next few years, but these might also be delayed, defence officials said. Such problems have reinforced India’s resolve to become less dependent on Russia, but it does not want to rely on any one nation for its weapons purchases, they said.
It is buying French fighter jets, Israeli drones, American jet engines and potentially German submarines. Over time these purchases will reduce the share of Russian military technology used by India, but this would take at least two decades, Indian officials said.
Bill Greenwalt, a former senior Pentagon official for industrial policy, said the days of US and Russian domination of the global defence market and being able to control defence technology was coming to end, but what would replace it was “still a work in progress.”
Russia’s S-400 missile air defence systems
He said India could become frustrated by the strict US export control system for armaments and the restrictions it places both on technology sharing and its ability to develop systems it acquires. “I expect India will pursue cooperation with the west with those countries that can transfer technology,” he said.
Exports to India must satisfy stringent US International Trafficking in Arms (ITAR) regulations and the two countries are not treaty allies - which for instance means the level of technology sharing provided under the AUKUS deal to supply Australia with nuclear-powered submarines is not on the cards.
Even so, Modi’s US visit has been hailed by both sides as bringing the relationship to a new level. Besides the defence deals, the two countries also signed agreements on chips, space, artificial intelligence and critical minerals.
India is also a member of the QUAD alliance with the US, Japan and Australia, which deepens its ties with the West, but does not replace its decades-old relationship with Russia.
Derek Grossman, a Rand Corporation defence analyst, said the US would always be cautious in what military hardware and technology it shares with India because of this.
Even if India can transition away from Moscow over the next few decades, Grossman said, “the US will still have suspicions about how their systems are being used and how that might help the Russians in some sort of way, because of that close India-Russia partnership.”
“India is going to be opportunistic in this situation and accept whatever the US is willing to offer. But I don’t think they are willing to give up what they have with Russia.” (Reuters)
BIONTECH has announced plans to invest up to £1 billion in the UK over the next 10 years. The investment will fund new research and artificial intelligence centres in Cambridge and London, creating over 400 jobs.
The UK government will provide up to £129 million in grant funding as part of the agreement signed with Science Secretary Peter Kyle on 20 May.
BioNTech will establish a research centre in Cambridge focused on genomics, oncology, structural biology, and regenerative medicine. In London, the company will set up its UK headquarters and an AI hub led by InstaDeep Ltd.
“This investment will propel the growth-driving life sciences sector to new heights,” said Peter Kyle.
Chancellor Rachel Reeves said: “This is another testament to confidence in Britain being one of the world’s top investment destinations and a global hub for life sciences.”
BioNTech CEO Uğur Şahin said: “This agreement marks the next chapter of our successful strategic partnership with the UK Government.”
The move is expected to generate additional jobs in the supply chain. It builds on the existing partnership between the government and BioNTech to provide up to 10,000 patients with personalised cancer immunotherapies by 2030.
The government said the investment aligns with its Plan for Change and support for the life sciences sector.
THE UK's annual inflation rate rose more than expected in April due to sharp increases in energy and water bills, according to official data released on Wednesday.
The Consumer Prices Index reached 3.5 per cent last month, up from 2.6 per cent in March, the Office for National Statistics (ONS) said. Analysts had expected a rise to 3.3 per cent.
At 3.5 per cent, the inflation rate was the highest since the start of 2024, the ONS said.
"I am disappointed with these figures because I know cost of living pressures are still weighing down on working people," chancellor Rachel Reeves said.
From April, UK regulators allowed private companies to raise household utility bills, reflecting changes in oil and gas markets and the financial positions of water companies.
"Significant increases in household bills caused inflation to climb steeply," ONS acting director general Grant Fitzner said.
"Gas and electricity bills rose... compared with sharp falls at the same time last year," he said.
He added, "Water and sewerage bills also rose strongly... as did vehicle excise duty, which all pushed the headline rate up to its highest level since the beginning of last year."
Analysts expect energy bills to fall from July, following recent declines in oil prices after US President Donald Trump's tariffs actions.
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A Foxconn electric two-wheeler powertrain system is displayed at Foxconn’s annual tech day in Taipei, Taiwan October 8, 2024. (Photo: Reuters)
KEY iPhone manufacturer Foxconn is investing £1.12 billion to increase its focus on India, as Apple continues shifting production away from China amid geopolitical and tariff-related concerns.
The Taiwanese company said its Singapore-based subsidiary had acquired 12.7 bn shares in its India unit, resulting in an injection of about £1.12 bn.
The Indian arm, called Yuzhan Technology India, manufactures smartphone components in Tamil Nadu, according to local media reports.
No other details were shared in the filing made by Foxconn with the Taiwan stock exchange on Monday.
India has been working to position itself as an alternative manufacturing destination to China.
Efforts by New Delhi to offer subsidies worth billions have helped boost local electronics manufacturing.
Foxconn’s latest move comes weeks after Apple CEO Tim Cook said he expected most iPhones sold in the United States to have “India as their country of origin”.
Experts say the gradual move from China to India helps Apple reduce risks linked to tariffs and geopolitical tensions, including those stemming from former US president Donald Trump’s trade policy.
Apple’s growing focus on India also drew criticism from Trump, who said last week he told Cook: “We’re not interested in you building in India... we want you to build here.”
Foxconn is also expanding its manufacturing operations more broadly in India.
Last week, the Indian government approved Foxconn’s proposal to build a semiconductor facility in northern India in partnership with the HCL Group.
According to a government press release, the HCL-Foxconn joint venture will invest about £324 million in the plant.
The facility will manufacture display driver chips used in smartphones, laptops, cars and other devices.
The press release said the plant is planned to handle 20,000 wafers – thin slices of semiconductor material – each month, with a designed output capacity of 36 million units per month.
India has offered financial support to companies setting up chip manufacturing facilities in the country to build a reliable supply chain and address national security concerns.
(With inputs from agencies)
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President of the European Commission, Ursula von der Leyen, Keir Starmer, and president of the European Council, Antonio Costa arrive to attend the UK-EU Summit at Lancaster House on May 19, 2025 in London. (Photo: Getty Images)
THE UK and the European Union on Monday reached a landmark agreement to strengthen cooperation on defence and trade, signalling a new chapter in relations following the UK's departure from the bloc in January 2020.
Opening the first EU–UK summit since Brexit, prime minister Keir Starmer described the agreement as "a new era in our relationship" and "a new strategic partnership fit for our times."
At a joint press conference with European Commission President Ursula von der Leyen and European Council President Antonio Costa, Starmer called the deal a "win-win" and said it was "good for both sides."
Following months of negotiations, the two parties agreed to hold more regular security discussions as part of a new defence arrangement.
The UK and the EU have agreed to a new security and defence partnership. This comes at a time when European countries are increasing their military readiness in response to threats from Russia and concerns over the policies of US President Donald Trump.
Under the agreement, British representatives will be allowed to attend certain EU ministerial meetings and take part in European military missions and exercises.
The partnership also aims to integrate the UK’s defence industry more closely with European efforts to build a domestic industrial base.
It opens the possibility for British firms to access a 150-billion-euro EU fund, which is currently under negotiation among the 27 EU member states. A separate agreement and financial contribution from the UK will be required to enable this.
Companies such as BAE Systems and Rolls-Royce are expected to benefit from this arrangement.
Burgers and pets
The agreement includes a commitment to reduce checks on food and plant products in future trade, which had been a key demand from London.
"This would result in the vast majority of movements of animals, animal products, plants, and plant products between Great Britain and the European Union being undertaken without the certificates or controls that are currently required by the rules," the agreement text states.
The EU remains the UK's largest trading partner. However, UK exports to the EU have fallen by 21 per cent since Brexit, and imports are down seven per cent.
Prime minister Starmer said that British products such as burgers, sausages, shellfish and others will now be able to return to EU markets. He also said that Britons will find it easier to travel with their pets.
The UK has agreed to a form of dynamic alignment with EU sanitary and phytosanitary rules, with the ability to adjust over time. Some exceptions may apply.
A new independent dispute resolution mechanism will be created, but the European Court of Justice will remain the final authority.
Other economic aspects of the agreement include closer cooperation on emissions quotas. This will allow UK businesses to avoid paying the EU’s carbon border tax.
According to Downing Street, these measures could add "nearly £9 billion (10.7 billion euros) to the British economy by 2040".
Fisheries
The fisheries section of the agreement was of particular concern to France and was considered essential for broader UK–EU cooperation.
The UK has agreed to extend an existing arrangement allowing European vessels to fish in British waters and vice versa until June 2038. The current deal was due to end in 2026.
Downing Street said this extension would provide stability for fishing crews while maintaining current catch levels for EU vessels in British waters.
The deal drew criticism in Scotland. Scottish First Minister John Swinney said the fishing sector "seems to have been abandoned" by London. The Scottish Fishermen’s Federation described the agreement as a "horror film".
French fisheries minister Agnès Pannier-Runacher welcomed the deal, saying it "will provide economic and political visibility for French fishing".
Youth mobility
The EU has pushed for a youth mobility scheme to allow young people to study and work temporarily across borders. The UK has not made a firm commitment on this and remains cautious of any move resembling free movement.
The agreement text does not mention "mobility" but expresses a shared interest in developing a "balanced programme" to let young people work, study, volunteer or travel across the UK and EU under future conditions.
Discussions also included the possibility of the UK rejoining the Erasmus+ student exchange programme.
The number of EU students studying in the UK has fallen from 148,000 in 2019–2020 to 75,500 in 2023–2024.
Border crossings
To make travel smoother, both sides agreed to "continue discussions" to allow UK nationals more access to "eGates" at EU borders.
Downing Street said this would help British holidaymakers avoid long queues at European airports.
(With inputs from AFP)
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This latest incident follows other recent cyber attacks on major UK supermarkets
Peter Green Chilled, a key distributor to leading UK supermarkets including Tesco, Sainsbury’s and Aldi, has been hit by a cyber attack, disrupting operations and raising concerns over food supply and waste.
The cyber incident occurred on the evening of Wednesday 15 May. In an internal communication seen by the BBC, Peter Green Chilled informed partners the following day that no new orders would be processed on Thursday 16 May, though any deliveries prepared before the attack would still be dispatched.
Despite the disruption, managing director Tom Binks said the company’s transport operations remained functional. “The transport activities of the business have continued unaffected throughout this incident,” he stated.
The attack has had a direct impact on suppliers who depend on Peter Green Chilled to deliver time-sensitive goods. Wilfred Emmanuel-Jones, founder of The Black Farmer brand, said he had “something like ten pallets worth of meat products” at the distributor’s facility, warning the stock could go to waste if not delivered in time. “If those products don’t get out to the retailers, they’ll be thrown in the bin,” he said.
Peter Green Chilled joins a growing list of companies in the UK’s food supply chain affected by cyber crime. Earlier this year, M&S and Co-op were also targeted in major cyber attacks, highlighting a concerning trend within the sector.
Cybersecurity and logistics expert Tim Grieveson said attacks like the one on Peter Green Chilled demonstrate how digital threats can have tangible consequences. “Cyberattacks on the supply chain are not just about data breaches,” he said. “When hackers target logistics or warehouse operations, even short delays can be catastrophic—especially for perishable goods like fresh produce or pharmaceuticals.”
Grieveson warned that ransomware can disrupt refrigeration and delay deliveries, leading to “tons of spoiled inventory, lost revenue and empty supermarket shelves.”
In April, M&S suffered significant disruption after hackers accessed its systems through a third-party vendor, resulting in a weeks-long suspension of online orders and millions in lost sales. Co-op also faced a serious cyber breach that it initially downplayed, later admitting that hackers had accessed and leaked customer data.
Peter Green Chilled has not yet confirmed whether customer or supplier data was compromised, but the incident underscores the growing vulnerability of the UK’s food supply chain to cyber threats.