For the first time, a Memorandum of Understanding (MoU) has been signed between India and Russia to produce a passenger aircraft, the SJ-100. Hindustan Aeronautics Limited (HAL) and Russia's Public Joint Stock Company United Aircraft Corporation (PJSC-UAC) signed the MoU in Moscow on Monday to produce “made in India” Sukhoi SJ-100 passenger aircraft.
 
The SJ-100 is a twin-engine, narrow-body aircraft currently in operation with more than 16 commercial airline operators. Over 200 such aircraft have already been produced.
 
As per the MoU, HAL will have the right to manufacture the SJ-100 for India's domestic customers. This is being counted as a crucial move for enhancing short-haul connectivity under the government's UDAN scheme. This collaboration represents the first time a "complete passenger" aircraft will be produced in India since the AVRO HS-748 project, which began in 1961 and ended in 1988.
 
 
HAL shared details of the signing on X, stating, "HAL and Public Joint Stock Company United Aircraft Corporation (PJSC-UAC) Russia signed an MoU for production of civil commuter aircraft SJ-100 in Moscow, Russia on October 27, 2025."
 
"The manufacturing of the SJ-100 aircraft marks the beginning of a new chapter in the history of the Indian aviation industry. It's a step towards fulfilling the dream of 'Aatmanirbhar Bharat' in the civil aviation sector," the release then added.
 
This collaboration is expected to meet India’s growing aviation needs. Industry estimates indicate that over the next decade, India will require more than 550 jets in this category: over 200 to strengthen regional connectivity and an additional 350 for the Indian Ocean region and nearby international tourist routes.