Why Karnataka has raised hell over Andhra CM Naidu's HAL pitch

Karnataka has strongly responded to Andhra Pradesh CM N Chandrababu Naidu's reported bid to the Centre to expand HAL's operations to his state. The aerospace and defence company has major production facilities in Karnataka's Bengaluru and Tumakuru. Here's what is going on and why the two states are fighting read more
Andhra Pradesh Chief Minister N Chandrababu Naidu is said to have proposed setting up HAL facilities in his state. File Photo/PTI
A row has erupted between Karnataka and the neighbouring Andhra Pradesh over the state-run defence firm Hindustan Aeronautics Limited (HAL). Karnataka has raised objections to reports of Andhra Pradesh Chief Minister N Chandrababu Naidu's alleged bid to expand HAL's operations to his state.
HAL, India's flagship aerospace and defence company, has major production facilities in Karnataka's Bengaluru and Tumakuru. Now, Andhra Pradesh is reportedly seeking diversion of HAL's Advanced Medium Combat Aircraft (AMCA) and Light Combat Aircraft (LCA) production from Bengaluru to Andhra Pradesh.
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Let's take a closer look.
Andhra CM's HAL pitch
Andhra Pradesh CM Naidu has reportedly approached the Centre for setting up HAL's units in his state.
The request is said to have been made by Naidu to Prime Minister Narendra Modi during last week's NITI Aayog meeting.
Naidu called for establishing a new greenfield HAL facility in Andhra Pradesh during his interaction with the Central government, including meetings with Defence Minister Rajnath Singh, as per a NDTV report.
The proposal is to house upcoming manufacturing capacity for the Light Combat Aircraft Tejas and other domestic platforms.
As per reports, Naidu has offered 10,000 acres of land at the Lepakshi-Madakashira region, just 140 km from the Bangalore international airport.
During a meeting with the defence minister on Friday, Naidu said Bengaluru was saturated for HAL projects, as per Economic Times (ET).
'Defence units like these need setbacks as well, which is possible here in Andhra Pradesh and may be tough in Karnataka,' a top source present at the meeting with the defence minister told NDTV.
The proposal is said to be a part of Naidu's broader vision to develop a major defence industrial corridor in AP to increase the state's contribution to India's defence manufacturing sector.
Karnataka raises hell over HAL
The Congress-led Karnataka government has condemned the reports of Naidu allegedly seeking the relocation of the HAL facility to Andhra.
Karnataka CM Siddaramaiah has dismissed the possibility of shifting HAL to Andhra Pradesh. 'I do not know, as far as my knowledge goes, it cannot be. It will not be shifted,' he said.
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Rebuking the Andhra CM's reported proposal, Karnataka Deputy CM DK Shivakumar asserted the Siddaramaiah-led government will not allow the shifting of any facility operating in the state.
'I don't want to comment on whatever they demand. But Karnataka will not allow what has been functioning here to be shifted. I want Parliament members and my Central ministers who are there to react to this. But as a government, we will not allow anything to be shifted,' he said.
Shivakumar also pointed out that Karnataka has allotted land in Tumakuru for HAL's helicopter division. 'Karnataka contributes 65 per cent of India's defence production and ranks 3rd globally in aerospace ecosystem strength. Our government will do whatever it takes to protect state's assets,' he wrote on X.
Karnataka will not allow HAL to be shifted out of Bengaluru.
HAL is not just an enterprise - it is a national asset, a symbol of self-reliance, and the proud legacy of Pandit Nehru and Krishna Raja Wadiyar IV.
-Land has already been allotted in Tumakuru for HAL's helicopter… pic.twitter.com/tjfyMBZFGv — DK Shivakumar (@DKShivakumar) May 27, 2025
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The Karnataka deputy CM said the Centre can establish 'anything new' in Andhra Pradesh, to which Karnataka would not object.
Karnataka Minister for Medical Education and Skill Development, Sharan Prakash Patil, also waded into the dispute. 'HAL is the pride of our state. We will not allow its relocation to Andhra Pradesh. This institution was not founded by the BJP. The Congress government brought it here. If there is any attempt to move it, BJP MPs from Karnataka must act. Otherwise, they are betraying the state,' he said.
Patil to meet defence minister
As the row over HAL gains momentum, Karnataka Industries & Infrastructure Minister MB Patil said Monday (May 26) that he will meet Defence Minister Rajnath Singh to save HAL's investments in the state.
'I will also request Union ministers from Karnataka, Nirmala Sitharaman, Pralhad Joshi, HD Kumaraswamy, V Somanna and Shobha Karandlaje to join me in my meeting with the defence minister. We will do our best to protect Karnataka's interests in defence projects,' he told ET.
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'Naidu knows the system very well. There is nothing wrong in his demanding new units or those under expansion but cannot ask for diversion of existing ones in Karnataka…,' Patil said, adding, 'Who said we don't have land? We have already given land to HAL in Tumakuru and would consider more if it wants.'
Patil told ET that Karnataka would also push for a defence manufacturing corridor during the talks with the defence minister and other ministers.
In a post on X, Patil described Naidu's proposal as 'highly inappropriate', saying it was against the spirit of inter-state cooperation. 'Karnataka is home to HAL. Relocating the existing facility is not acceptable.'
Karnataka is Home to HAL - Relocating the Existing Facility is not acceptable
Will meet Shri @rajnathsingh to seek Defence Corridor for #Karnataka
Media reports suggest that the Chief Minister of Andhra Pradesh, Shri Chandrababu Naidu, has requested the Central Government to… pic.twitter.com/FcltfBEAtz — M B Patil (@MBPatil) May 27, 2025
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The Andhra Pradesh chief minister's office has claimed they did not pitch for shifting any existing facility, reported NDTV.
The controversy comes as HAL aims to boost defence production capacity to meet a surge in demand. Three units have been set up to manufacture Light Combat Aircraft — two in Bengaluru and one in Maharashtra's Nashik.
HAL has also joined hands with private firms, including Tata and L&T, to increase production capacity.
With inputs from agencies

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