India has called off its agreement to acquire six more P-8I Poseidon maritime patrol planes from Boeing for $2.42 billion because of new US tariffs.
India has called off the purchase of six more P-8I Poseidon maritime patrol aircraft from the US because the costs have gone up sharply since Washington put new tariffs in place.
Indian local media claim that tariffs put in place by the Trump administration have raised the price of Boeing's P-8I aircraft by more than 50%, making the $2.42 billion program not financially feasible.
India bought eight P-8Is in 2009 for $2.1 billion to replace its old Soviet-built Tu-142M fleet. In 2016, a second contract was struck for four more planes for $1 billion. The first aircraft from the initial order entered service in December 2012, while the first from the second order was delivered in November 2020.
In 2011, New Delhi had signalled interest in a total of 12 more Poseidons. However, by 2019, the plan was scaled back to 8–10 units due to budget constraints. That November, the Defence Acquisition Council approved the purchase of six more aircraft, a deal now shelved.
This marks the second high-profile defence programme impacted by US tariffs. Just days earlier, reports confirmed India had halted discussions on acquiring the F-35 Lightning II stealth fighter.
The action came after Washington decided to put a 25% tax on Indian exports. New Delhi claims this makes it less likely that big weapons purchases will go through.
The P-8I Poseidon is based on the Boeing 737 airframe and is made for long-range maritime patrol, anti-submarine warfare, and gathering information. India uses the type a lot in the Indian Ocean region.
Author: Özgür Ekşi
