India Signs $248 Million Deal with Rosoboronexport for T-72 Tank Engine Upgrade

The Indian Ministry of Defence has finalized a $248 million agreement with Russia’s state-owned arms exporter, Rosoboronexport, to procure advanced engines for its fleet of T-72 tanks. This deal aims to enhance the operational capability of the Indian Army by replacing the existing 780-horsepower engines with more powerful 1,000-horsepower engines.

The contract includes the supply of engines in various forms—fully assembled, semi-knocked down (SKD), and completely knocked down (CKD). This approach ensures immediate operational deployment while also facilitating local assembly and future domestic production. A key aspect of the deal is the transfer of technology (ToT) to Armoured Vehicles Nigam Limited (AVNL) in Avadi, Chennai. This will allow AVNL to manufacture and integrate these engines under license, supporting India's "Make in India" initiative and reducing long-term reliance on foreign suppliers.

Upgrading the T-72 fleet with more powerful engines is expected to improve the tanks' mobility, acceleration, and battlefield endurance. The T-72, a crucial part of India's armored force since the 1980s, has already undergone multiple modernizations, including the addition of Explosive Reactive Armour (ERA) for better protection, improved fire control systems, and GPS-based navigation.

The ongoing conflict in Ukraine has caused global supply chain disruptions, prompting India to secure critical defence procurements while simultaneously expanding its indigenous defence manufacturing capabilities. Alongside this upgrade, India continues to develop its Arjun MK-1A tank program to diversify its armored vehicle fleet.

This latest agreement underscores India's commitment to modernizing its military while maintaining strong strategic ties with Russia, a long-standing defence partner.