India to Begin Review to Phase Out Chinese Components from Military Equipment

The Ministry of Defence (MoD) of India is preparing to initiate a comprehensive review of military procurement processes to identify and eliminate Chinese-origin components in equipment supplied to the armed forces. This move is aimed at assessing vulnerabilities in the defence supply chain and strengthening national security by reducing dependence on foreign—particularly Chinese—sources.

Although there are already stringent guidelines that prohibit the use of Chinese parts in military hardware, recent reports suggest that certain companies might still be sourcing critical components from China, either directly or through third countries. This has triggered serious concerns within defence and security circles about the authenticity of indigenous content in military-grade equipment.

As part of its broader 2025 defence reforms, the MoD plans to appoint an external agency to carry out an independent audit of vendors’ claims regarding indigenously sourced content. This agency will also be tasked with mapping the entire supply chain to identify foreign dependencies, evaluating the cost structures of the supplied equipment, and assessing the technology transfer processes involved in production.

At a recent public event, Major General C.S. Mann, the Additional Director General of the Army Design Bureau, emphasized the Army’s focus on removing Chinese components from its supply chain. He reiterated that one of the Indian Army’s key priorities is to reduce foreign dependency—particularly on China—to address and minimize potential national security risks.

In line with this goal, the Army is also actively identifying and supporting Indian companies capable of manufacturing critical defence components domestically under the “Make in India” initiative. This effort is intended to promote self-reliance in defence production and foster indigenous technological capabilities.

The urgency of this review initiative is heightened by rising concerns that some vendors have exaggerated their indigenous content claims. Investigations have revealed that essential components in certain systems—especially drones and anti-drone technologies—can often be traced back to Chinese origins, sometimes via intermediary countries. These revelations have made drones and related systems a high-priority area for scrutiny.

Furthermore, the Ministry has tasked external consultants with evaluating patent ownership and scrutinizing development cost claims made by private firms. There are instances where companies have allegedly underquoted costs during the development phase, only to inflate prices at later stages, raising red flags over procurement transparency and financial efficiency.

Since the commencement of Operation Sindoor—a defence initiative to streamline and accelerate military preparedness—the Ministry has fast-tracked equipment procurement. At the same time, it has intensified scrutiny of vendors, especially those suspected of using Chinese-origin components in equipment meant for frontline forces.

In a notable incident from February, the Ministry cancelled drone procurement orders after confirming the use of Chinese components, citing national security risks as the primary reason. This set a precedent for stricter enforcement of sourcing regulations.

With the launch of this comprehensive review, defence officials anticipate that many more items of military hardware will now be subjected to rigorous inspection. The objective is to ensure complete compliance with existing security and procurement guidelines, enhance transparency, and promote truly indigenous defence manufacturing in India.