India, Dec. 26 -- India's defence industrial policy is undergoing a profound transformation. In 2025, designated as the 'Year of Reforms', the Ministry of Defence announced updates to the Defence Acquisition Procedure (DAP) through a three-pillared strategy. This includes: (a) less ownership constraints to allow foreign-led firms to act as primary contractors, (b) priority to delivery speed and export capacity over traditional domestic preferences, and (c) new sovereign oversight through mandatory tech transfer disclosures, and indigenous content verification. We examine the policy in the light of India's experience, and that of other latecomers.

Little FDI despite liberal norms: India opened the defence manufacturing to foreign ownershi...