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India might become an aerospace manufacturing hub, says Airbus
09 May 2026

Airbus has expressed its belief that the proposed India-European Union (EU) trade deal could significantly boost aerospace manufacturing, supply chains, and technology investments in the country.

Jurgen Westermeier, President of Airbus India and South Asia, told CNBC-TV18 that aerospace firms are looking to expand their manufacturing footprint globally, as part of ongoing supply chain diversification efforts.

Proposed India-EU FTA to create more opportunities
Trade impact

Westermeier noted that the aerospace sector has always welcomed a like-for-like tariff framework under free trade agreements.

He expects the proposed India-EU Free Trade Agreement (FTA) to create more opportunities for trade, manufacturing, and innovation across sectors.

The Airbus executive cited a recent study showing that over 95% of EU companies plan to expand in India in the next five years, backed by this proposed FTA.

Key areas of collaboration
Collaboration focus

Westermeier identified manufacturing and supply chains, technology and digital innovation, and research and development (R&D) as key areas of collaboration under the proposed India-EU FTA.

He also said that tariff rationalization under this agreement could trigger a manufacturing revolution across multiple sectors in India via increased investments by European companies.

The Airbus executive made these remarks at an event organized by the Federation of European Business in India (FEBI), where he is President.

FTA could boost commercial aircraft trade
Trade boost

Westermeier also said that the proposed India-EU FTA could boost commercial aircraft trade under a global "zero-for-zero" tariff regime.

He further revealed that a "security of information agreement" is also being negotiated between India and the EU.

These developments highlight the growing economic ties between India and Europe, especially in the aerospace sector.