Engineers review blueprints amidst aerospace components in a Telangana manufacturing facility.
Telangana is set to solidify its position as a leading exporter of engineering goods, with aerospace and defense manufacturing serving as key drivers. Engineering exports from the state have seen substantial growth, jumping from $1.827 billion in 2022-23 to $7.536 billion in 2024-25, according to recent data. This represents the highest increase among Indian states, with a 117.9% rise in engineering export performance between 2023-24 and 2024-25.
In FY25, Telangana ranked as the fourth-largest exporter of engineering goods in India, trailing Maharashtra, Tamil Nadu, and Gujarat. The state’s robust aerospace and defense ecosystem, featuring global players like Lockheed Martin and Boeing, has significantly enhanced its supply chain capabilities. Hyderabad has emerged as a critical hub for high-value aerospace components.
Engineering goods accounted for 38.44% of Telangana’s merchandise exports in 2024-25. The state government anticipates further growth within the PURE (Peri-Urban Region Economy) zone, part of its broader strategy to achieve a $3 trillion economy by 2027. This initiative includes the development of distinct economic zones: CURE (Core Urban Region Economy) for services and RARE (Rural Agri Region Economy) for agri-based development, alongside PURE.
Telangana’s engineering exports include industrial machinery, precision components, and electrical equipment, in addition to aerospace and defense components. The state’s strategic focus on attracting aerospace and defense manufacturing firms is expected to sustain its export growth momentum in the coming years.
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