Hindustan Aeronautics (HAL) and Public Joint Stock Company United Aircraft Corporation (PJSC-UAC) Russia signed an MoU for production of civil commuter aircraft SJ-100 in Moscow, Russia on 27 October  2025.

SJ-1 00 is a twin-engine, narrow-body aircraft. As on date, more than 200 aircraft have been produced and are being operated by more than 16 commercial airline operators. SJ-100 will be the game changer for short-haul connectivity under the UDAN Scheme in India. Under this arrangement, HAL will have the rights to manufacture SJ-100 aircraft for domestic customers.

This collaboration between HAL and UAC is the result of mutual trust between the organisations. This will also be the first instance wherein a complete passenger aircraft will be produced in India. The last such project was HAL's production of AVRO HS 748, which started in 1961 and ended in 1988.

It is estimated that over the next ten years, the Indian aviation sector will require over 200 jets in this category for regional connectivity and an additional 350 aircraft for the Indian Ocean region to serve nearby international tourist destinations.