JSW Defence Pvt. Ltd. and U.S.-based Shield AI Inc. have entered a partnership to produce Shield AI’s “V-BAT” Group 3 Unmanned Aerial Systems (UAS) in India, targeting local defense and export needs. Under the agreement, JSW Group will invest approximately $90 million over two years, with $65 million to be allocated in the first 12 months. This initial investment will focus on setting up a manufacturing facility in India, establishing global compliance standards, and workforce training.

The planned facility will manufacture, assemble, and test the V-BAT systems, aiming to create a local supply chain and establish India as a production hub for Shield AI’s technology. The V-BAT, currently used by military forces such as the United States Marine Expeditionary Units, is a fixed-wing, vertical take-off and landing (VTOL) system designed for intelligence, surveillance, and reconnaissance (ISR) operations. Its design allows for rapid deployment and operations in challenging environments, featuring a ducted fan that minimizes its logistical footprint.

Parth Jindal from JSW Group stated that the partnership would allow for large-scale production of the V-BAT in India and support the Indian Armed Forces with training and maintenance services.

Sarjan Shah, Shield AI’s Managing Director for India, highlighted that the collaboration aligns with efforts from both governments to strengthen the U.S.-India defense supply chain and expand indigenous defense manufacturing capabilities.

The companies expect the collaboration to bolster India’s defense technology production while enhancing local capabilities in military unmanned systems.