Overview

• Speaking at the ET World Leaders’ Forum in New Delhi on August 22, the defence minister called for a new rules-based system led by India focused on equality, cooperation and responsibility.
• He argued that India is the viable alternative to China for strengthening disrupted global supply chains.
• He invited foreign companies to co-produce in India’s defence ecosystem with assured clearances, noting that 75% of the ₹6.21 lakh crore defence budget is reserved for domestic procurement and that purchases are projected to top ₹2 lakh crore this fiscal.
• He said India has shifted toward exporting arms, citing deliveries to nearly 100 countries, export goals of ₹30,000 crore this year and ₹50,000 crore by 2029, and rising defence production approaching ₹2 lakh crore.
• He highlighted the India‑AI Mission and said made‑in‑India semiconductors would reach the market by year‑end, adding that steps are underway toward fifth‑generation fighter jets and aircraft engines.