During the closed-door meeting, Minister Lokesh made a strong strategic pitch, presenting Andhra Pradesh’s proposal to host a world-class aerospace manufacturing facility anchored by Airbus.
Credit: Special arrangement
Hyderabad: Andhra Pradesh is wooing global aerospace major Airbus, valued at Rs 15,98,532 crore ($180 billion), to set up a manufacturing facility in the state.
IT Minister Nara Lokesh held a high-level meeting in New Delhi with Airbus Chairman René Obermann and the President and Managing Director of Airbus India & South Asia.
This marks the first-ever visit of the Airbus Board to India as the company explores opportunities under ‘Make in India’ and indigenisation.
During the closed-door meeting, Minister Lokesh made a strong strategic pitch, presenting Andhra Pradesh’s proposal to host a world-class aerospace manufacturing facility anchored by Airbus. The state’s vision includes co-located Tier-1 and Tier-2 vendors to ensure end-to-end supply chain integration.
The state government has offered ready-to-allot industrial land parcels and outlined a forward-looking aerospace policy designed to enable rapid project execution, global-quality manufacturing, and technology transfer. Andhra Pradesh’s proposal positions it as an export-driven aerospace hub.
The plan also includes an integrated cluster model, allowing suppliers, MSMEs, and partners to operate alongside the Airbus facility, thereby reducing risks, improving localisation, and ensuring cost efficiency at scale.
Lokesh highlighted that multiple aerospace corridors are under development in Andhra Pradesh, offering flexible options to align with Airbus’s requirements for vendor clustering, logistics access, and long-term expansion.
Emphasising the government’s pro-investor approach, Minister Lokesh travelled from Amaravati exclusively for the engagement. He assured the Airbus leadership of fast-track clearances, single-window facilitation, and time-bound approvals.
“Airbus represents the gold standard in global aerospace, and Andhra Pradesh is prepared to offer a competitive home for complex manufacturing with complete ecosystem support,” Lokesh said.
“With ready industrial land, a progressive policy, and corridor flexibility, we can localise, innovate, and scale global programmes from Andhra Pradesh,” he added.
The state also highlighted its plug-and-play industrial land, targeted incentives, MSME integration, and multi-corridor flexibility aligned with airports, ports, and logistics hubs. Additionally, Andhra Pradesh pledged industry-aligned talent development and skilling through partnerships with leading institutions.
Interestingly the meeting with the Airbus Board was planned in absolute secrecy. A senior state government official, privy to the developments, revealed that “this is the first time in Airbus’s history that its full board has come to India. Minister Lokesh’s pitch was made directly to the entire Board of Directors. The meeting was kept highly confidential, with even the AP Bhavan team in Delhi unaware. Using his personal networks, Minister Lokesh secured this exclusive meeting. Notably, Airbus is not engaging with any other state during this visit—only Andhra Pradesh.”