India has achieved a historic milestone in its defence industry, recording total exports valued at Rs 38,424 crore [1].
This shift represents a fundamental change in India's strategic position. By moving from the role of the world's largest arms importer to a major exporter, the country is reducing its reliance on foreign military technology and establishing itself as a global production hub [2].
The growth is driven by a combination of policy reforms and an increase in domestic production capacity. Geopolitical tensions have further accelerated this trend, as international demand for indigenous Indian systems continues to rise [1], [2].
The export landscape is split between state-led and commercial entities. Defence Public Sector Undertakings, known as DPSUs, maintain a dominant role in this expansion. These public-sector firms account for 54.84 percent [1] of the total export value.
Private firms are also contributing to the surge in shipments. The synergy between government-owned enterprises and the private sector has allowed India to scale its manufacturing capabilities more rapidly than in previous decades [2].
This industrial expansion aligns with broader national goals to localize the defence supply chain. By incentivizing the "Made in India" initiative, the government has encouraged the development of complex weaponry, and platforms that were previously sourced from overseas [1].
“India recorded a historic level of defence exports”
India's transition toward a defence export model signifies a pivot in its geopolitical strategy. By leveraging both public-sector dominance and private-sector agility, India is not only enhancing its own strategic autonomy but is also positioning itself as a competitive alternative to traditional Western and Russian arms suppliers in the global market.



