Jeh Aerospace lines up over $50 million investment in capacity addition

Jeh Aerospace is betting on India’s growing role in global aerospace supply chains with its Global Manufacturing Centre (GMC) model. The Hyderabad-based precision aerospace manufacturer has secured an order book exceeding $250 million and plans to invest over $50 million in the next three years. businessline spoke to Vishal Sanghavi, Co-founder of Jeh Aerospace on his company’s expansion strategy, investment roadmap and on the industry.

Jeh Aerospace has expanded rapidly within a short span. Where does the business stand today?

We have grown much faster than we had initially anticipated. Our confirmed order book is now in excess of $250 million, reflecting the long-term nature of aerospace manufacturing contracts. More importantly, we have earned the trust of global customers, which is the most difficult part in this industry. We currently work with about seven customers across the US and Europe, while another five customers are in the pipeline. We manufacture more than 350,000 high-precision aerospace components, and demand continues to remain strong. The real differentiator is not winning orders but consistently delivering quality and on-time performance.

What are your investment and expansion plans over the next few years?

We have already invested more than $10 million in the business. Over the next three years, we plan to invest over $50 million, primarily towards expanding manufacturing capacity. Our present facility occupies about 60,000 sq ft, and we have already secured another 200,000 sq ft within the same industrial park at Kothur near Hyderabad for expansion. This will essentially be a brownfield expansion as we prefer leasing industrial infrastructure and investing capital in advanced manufacturing equipment rather than land and buildings.

 How is the manufacturing capacity being scaled up?

We have built a manufacturing base of 50 high-precision CNC machines within just one-and-a-half years, which is unusually fast for the aerospace industry. We expect this to increase to more than 150 machines over the next 12-18 months. These are advanced CNC machines sourced largely from Germany and Japan and are capable of producing aerospace components requiring sub-10 micron precision. Our products are used in aero engines, landing gear systems and other critical aircraft applications involving hard metals such as titanium and Inconel.

Your Global Manufacturing Centre (GMC) model appears different from the conventional joint venture route. What makes it unique?

The aerospace industry’s biggest bottleneck today is not at the aircraft manufacturer level but across Tier-1 and Tier-2 suppliers. Nearly 70 per cent of the value addition in an aircraft happens in these layers.

Having previously built joint ventures for Boeing, Lockheed Martin and Sikorsky, we realised that while the JV model works, it is also bureaucratic and time-consuming. The GMC model provides global customers the benefits of manufacturing in India without the legal and operational complexities of a traditional joint venture. The manufacturing facilities remain in India, but they function as dedicated manufacturing centres for overseas customers, helping them build resilient supply chains while retaining quality and delivery standards.

How competitive is India in global aerospace manufacturing today?

The opportunity is enormous because the global aerospace industry is facing severe supply-chain constraints. Today, companies such as Airbus and Boeing continue to struggle because their suppliers cannot ramp up production fast enough. India offers three important advantages. First, we have access to skilled engineering talent. Second, we can manufacture globally competitive products. Third, we can deliver significant cost advantages over Western markets.  Winning trust through consistent performance remains the biggest challenge.

How do you see the aerospace manufacturing industry evolving over the next five years?

Two major trends are emerging. Th...