HYDERABAD: Telangana’s defence manufacturing sector is set to receive a major boost, with JSW Defence and US-based Shield AI establishing a state-of-the-art Unmanned Aerial Vehicle (UAV) production facility at the Electronic Manufacturing Cluster in Maheshwaram.
The foundation stone for the Rs 850 crore unit, spread across 16 acres, was laid on Tuesday.
The facility will manufacture up to 300 V-BAT drones every year and is expected to become operational by the end of next year. Designed with integrated production, repair and testing capabilities, it is projected to create around 300 skilled jobs. The project marks an important milestone in Indo-US defence collaboration and supports India’s aim to emerge as a global leader in advanced unmanned aerial systems.
The V-BAT is a military-grade, vertical take-off and landing drone developed by Shield AI for intelligence, surveillance and reconnaissance missions.
IT and Industries Minister D Sridhar Babu, speaking at the ceremony, said Telangana was working toward transforming itself into the “defence strategic hub of India.” He said a dedicated drone manufacturing and testing corridor was also being planned to enhance the state’s defence capabilities.
With drones, satellites, cyber systems and AI shaping modern warfare, he noted that achieving self-reliance in advanced UAV technology was crucial for national security. He added that India’s domestic defence UAV market is expected to reach $4.4-5 billion by 2030, and Telangana is positioning itself to make the most of this opportunity.
The minister said the presence of global defence companies like Elbit Systems and Schiebel in Hyderabad highlights the state’s rising prominence in aerospace and defence innovation.
At a glance
JSW Defence & Shield AI are setting up UAV plant on 16 acres in Maheshwaram, producing up to 300 V-BAT & creating 300 jobs
The project boosts Indo-US defence collaboration & India’s push for leadership in advanced unmanned systems