India’s bold ₹28,000-crore Predator drone deal with US unfolds with China watching

India and the United States are set to sign a $3.3 billion contract for the acquisition of 31 weaponized MQ-9B Predator drones on Tuesday. This deal will bring the total value of Indian defense contracts awarded to the U.S. to over $25 billion in the last two decades.

The MQ-9B drones, equipped for high-altitude, long-endurance missions, will enhance India’s capabilities in intelligence, surveillance, reconnaissance (ISR), and precision strikes, particularly in the Indian Ocean Region where China has been expanding its naval presence. The drones will be armed with Hellfire missiles, GBU-39B precision-guided bombs, and advanced sensor systems.

Deliveries of the drones will begin in four years and will be completed within six years under a government-to-government agreement, cleared by the Prime Minister-led Cabinet Committee on Security. These drones will be deployed at key command and control centers in Arakkonam, Porbandar, Sarsawa, and Gorakhpur for monitoring both maritime and land borders.

Additionally, a separate agreement will be signed with General Atomics to establish a global maintenance, repair, and overhaul (MRO) facility in India, with 34% of the components sourced locally. The MRO deal includes performance-based logistics for eight years or 1.5 lakh flying hours, whichever comes first.

Though there is no transfer of technology (ToT) in this deal, General Atomics will provide expertise to help India develop its own heavy-duty drones capable of precision strikes. The MQ-9Bs, known for their advanced capabilities, have outperformed Chinese drones like Cai Hong-4 and Wing Loong-II, which have been supplied to Pakistan.

This contract marks the second-largest defense deal between India and the U.S., following the $4.5 billion purchase of 11 C-17 Globemaster-III aircraft. Other significant U.S. defense deals with India include the Navy’s acquisition of 12 P-8I maritime patrol aircraft and the Air Force’s purchase of 13 C-130J Super Hercules aircraft.