Rajnath Singh: US companies welcome to set up manufacturing units

New Delhi, April 21: Defence Minister Rajnath Singh on Thursday exhorted US companies to carry out joint Research and Development, manufacturing and maintenance of defence equipment and said American companies are welcome to

establish manufacturing facilities in India. He was addressing the members of American Chamber of Commerce in India (AMCHAM India) through video conferencing during its 30th Annual General Meeting. He invited the US companies for co-production, co-development, investment promotion and development of Maintenance Repair and Overhaul facilities in India, Defence Ministry said. “Of late, some US companies have expanded their local presence in partnership with Indian industry to achieve our aim of Make in India, Make for the World. We believe this is just the beginning. With increasing business, we aspire for increased investments by US companies in India,” he said. Making full use of the Industrial Security Agreement, he further said, “We need to facilitate collaboration and indigenization of defence technology and boost the participation of US and Indian companies in each other’s defence supply chains. American companies are welcome to establish manufacturing facilities in India,” he said. Singh listed out a number of initiatives taken by the government to facilitate partnerships between major Original Equipment Manufacturer (OEMs) and Indian companies. “From increase in FDI limit to improving ease of doing business and from encouraging innovation through the iDEX platform to an enhanced positive list to give fillip to manufacture in India, the government is sharply focused on enhancing the share of defence manufacturing, export by India-based companies and joint ventures,” he said. Rajnath Singh pointed out that US companies have not only been a source of FDI and employment in India, but are also contributing to India’s defence exports, totaling around $2.5 billion to US in last five years, which is 35 per cent of total exports achieved during the period. He said the participation of US entities in joint R&D and industrial collaboration with Indian public and private sectors will be important for the success of AatmaNirbhar Bharat and further strengthening the US-India relationship. Singh termed the recently held India-US 2+2 Ministerial Dialogue in Washington as positive and fruitful, saying that the defence sector is a strong and growing pillar of the bilateral relationship. He stated that the ties are built on foundational agreements, military-to-military engagements, cooperation in enhancement of defence capabilities, defence trade and technology cooperation, mutual logistic share and now a new emphasis on co-development and co-production. He emphasized the need to move from a buyer-seller relationship to one of partner nations and business partners. “India and US are uniquely poised to leverage each other’s strengths for a mutually beneficial and bright future,” he said. He said when seen from the perspective of strategic convergence, India and US share a commitment to democracy pluralism and rule of law. “Both India and US share a common vision of a free, open, inclusive and rules-based Indo-Pacific and Indian Ocean Region,” he said. The India-US Comprehensive Global Strategic Partnership is of critical importance for international peace, stability and prosperity, he added. Rajnath Singh added that during the 2+2 Ministerial meeting, India and US confirmed their intent to advance cooperation in Critical and Emerging Technologies such as advanced communication technology, artificial intelligence, quantum science, STEM, semi-conductors and biotechnology. He urged the private industry to develop and undertake joint research and development projects, mobilize finance, promote technologies, and enhance technical collaboration. AMCHAM-India is an association of American business organizations operating in India. Established in 1992, AMCHAM has over 400 US companies as members. The principal objectives include promotion of activities that would encourage and stimulate investment by US companies in India and increasing bilateral trade. (UNI)