L&T Expanding Into the Space Sector
Larsen & Toubro (L&T), one of India’s largest industrial conglomerates, is making a major push into the aerospace sector. The company is focusing on launch vehicle and satellite manufacturing as India reduces its reliance on imports and increases private-sector involvement in space exploration.
L&T, India’s largest private-sector defence manufacturer by revenue, saw its Precision Engineering and Systems unit generate ₹46.10 billion ($548.3 million) in fiscal year 2024, marking a 41% growth from the previous year. The company now aims to expand its role in space technology, leveraging its expertise in high-tech manufacturing and precision engineering.
Building India’s First Privately Manufactured PSLV
At its Coimbatore factory in Tamil Nadu, L&T is assembling India’s first privately built Polar Satellite Launch Vehicle (PSLV). This effort is being carried out in partnership with Hindustan Aeronautics Limited (HAL) under a consortium agreement. The PSLV is a key component of ISRO’s launch programme, and L&T is also contributing to deep space exploration projects for the space agency.
With India pushing for greater privatization in space, the government has eased foreign investment restrictions and redirected more procurement budgets to private players. This shift aligns with India’s goal of becoming a global space powerhouse, mirroring the commercial space boom seen in the US and Europe.
L&T Tapping Into the Global Launch Market
L&T sees space as a major growth opportunity. The global launch vehicle market is expected to reach $160 billion over the next decade, while the Indian government has set a $44 billion target for its commercial space sector in the same period. India’s space industry is currently valued at $13 billion, according to research firm DAM Capital.
“We have decades of experience in high-tech manufacturing, critical systems, and scaling up production. The same expertise applies to aerospace,” said AT Ramchandani, senior vice president and head of L&T’s Precision Engineering and Systems, during a factory tour.
Competing in the Global Space Industry
L&T’s first privately built PSLV booster was initially scheduled for an early 2025 launch but has been pushed to mid-year. Each booster, currently in different stages of assembly, costs about $30 million.
With increasing demand for timely and cost-effective satellite launches, Ramchandani sees a major opportunity for India in the global market. “If we can provide availability, reliability, and cost advantages, India can be competitive,” he said.
By scaling up its aerospace capabilities, L&T is positioning itself at the forefront of India’s space ambitions, supporting Prime Minister Narendra Modi’s vision of making the country a leading player in the space industry.
With inputs from Reuters
