The government’s decision to buy 145 M777 155mm/45-calibre ultra-light Howitzer battlefield guns from BAE Systems under the Foreign Sales Military route with the US will enhance defence ties between both countries further, according to US Ambassador to India Richard Verma.
The deal was approved by the Ministry of Defence in June and the letter of agreement or LoA was signed on Wednesday between both governments.
“Indian industry will partner with the U.S. defense subsidiary of BAE Systems to locally assemble, integrate, and test the howitzers, supporting Prime Minister Modi’s Make-in-India campaign. This deal marks a major step forward in the U.S.-India defense relationship and supports jobs in both our countries,” Verma said Thursday.
Verma also said as major defense partners, the US and India remain committed to “enhancing military modernization efforts” and building a security partnership based “on trust, transparency, and shared interests.”
The M777 is a state-of-the-art, lightweight howitzer that will provide the Indian Army with advanced capabilities. India will join the US, Canadian and Australian forces in gaining the M777’s unmatched strategic and tactical mobility.
“We look forward to providing the Indian Army with the combat-proven M777. Our plan to establish a domestic Assembly, Integration and Test facility further demonstrates our commitment to ‘Make in India’ and remains a firm part of our strategy to work with the Indian defense sector across Air, Land, Sea and Security,” said Joe Senftle, Vice President and General Manager for Weapon Systems at BAE Systems.
The company said it expected to sign the contract in the “coming weeks” with the US Department of Defense to supply M777 Howitzers to the Indian Army.
The previous LoA was signed three years ago when the deal was agreed at around $630 million. However, the NDA government has now signed it for around $750 million.
This arrangement involves the Transfer of Capability (ToC) into the AIT facility in India, which will be the first ever transfer of this capability to the Indian private sector. This will be a fundamental part of the M777 production line and the only AIT facility for the product outside of the UK.