Indian Army gears up with AK-203 Rifles: Can domestic production keep pace?

Bengaluru: As Aero India 2025 kicks off on Monday, showcasing cutting-edge aerial platforms and big-ticket Russian air assets, a quieter but equally significant development is taking shape on the ground.

Beyond the fighter jets and drones, another piece of Russian-origin military hardware is set to play a crucial role — not in the skies, but in the hands of India's soldiers on the front lines. 

The AK-203 assault rifle, an indigenous next-generation upgrade to the Army’s small arms inventory, is finally making its way into service, raising key questions about India’s ability to sustain domestic defence production at scale.

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The Indian Army is set to receive a fresh batch of 70,000 AK-203 assault rifles in 2025, with another 100,000 units scheduled for 2026, as part of a major arms agreement with Russia. 

The delivery comes amid rising tensions along India’s borders and a growing push to modernise the country’s infantry arsenal with weapons that are more powerful, reliable, and suited to modern combat conditions.

The AK-203, a next-generation variant of the Kalashnikov series, is a direct replacement for the Indian Small Arms System (INSAS) rifle, which has been in service since the late 1990s. 

The INSAS, plagued by jamming in extreme weather, inconsistent performance, and inadequate stopping power, has long been deemed unfit for modern warfare."

The AK-203 is expected to address those shortcomings with its 7.62x39mm chambering, improved accuracy, and rugged construction.

But beyond the rifle itself, the Rs 5,000 crore ($600 million) deal between India and Russia is significant for another reason: it tests India's ability to produce advanced weaponry on its own soil.

A Rifle for the Future — But Can India Deliver?

Manufactured at Amethi in Uttar Pradesh, under Indo-Russian Rifles Private Limited (IRRPL)—a joint venture between India’s Ordnance Factory Board and Russia’s Kalashnikov Concern—the AK-203 is at the heart of India’s self-reliance ambitions in defense production. 

The government has aimed to source 30% of the rifle’s components domestically in 2025, with that figure expected to increase in the years ahead.

However, achieving full-scale domestic production has not been easy. 

The contract, originally announced in 2018, was delayed for years due to disagreements over pricing, technology transfer, and localisation targets. 

By the time the deal was signed in July 2021, India’s infantry units were still without a viable replacement for the INSAS.

Frustrated by the delay, and the pressing need for sophisticated small arms, the Army procured 72,400 SIG Sauer SIG716 rifles from the United States in 2019 through a fast-track emergency purchase. While highly effective in battle, the 7.62x51mm SIG716 is comparatively expensive and difficult to mass-produce, making it an interim solution rather than a long-term replacement.

“The AK-203 was always meant to be the workhorse of the Indian infantry,” said a senior Army officer who requested anonymity. “But bureaucratic delays left the Army with no choice but to look elsewhere.”

A Weapon Designed for India’s Battlefields

With its lightweight design, enhanced firepower, and compatibility with modern optics, the AK-203 is expected to transform India’s small arms ecosystem. Unlike the INSAS, which uses a smaller 5.56mm round, the AK-203’s 7.62mm ammunition offers greater stopping power, an advantage in close-quarters combat and mountainous terrain.

For soldiers stationed along the Line of Actual Control (LAC) with China and the Line of Control (LoC) with Pakistan, where high-altitude warfare is a constant reality, the AK-203 provides a simpler, more rugged alternative. 

The rifle’s adaptability also makes it suitable for urban counterterrorism operations in Kashmir, dense jungles in the Northeast, and high-altitude environments like Ladakh and Siachen.

But there are still concerns. While the Army has received 35,000 rifles between May and July 2024, there are lingering questions about whether the production timeline will stay on course. 

Many experts remain skeptical about India's ability to fully indigenise rifle production in the near future.

“We have been talking about self-reliance for decades, but in reality, our dependence on foreign technology remains high,” said a defence procurement official. 

“The challenge is not just manufacturing these rifles, but ensuring we have a domestic supply chain for critical components.”

The Russia Factor and India’s Balancing Act

The AK-203 deal also highlights the deep military ties between India and Russia, even as New Delhi expands its defence relationships with the United States and European nations. 

Despite growing Western sanctions on Moscow, India has maintained its arms trade with Russia, citing long-standing strategic ties and the need to diversify its defense suppliers.

For Russia, which has faced a shrinking market for arms exports due to its ongoing war in Ukraine, India remains a key partner. And for India, continuing defense cooperation with Russia provides a hedge against Western pressures.

Still, India’s balancing act is becoming increasingly difficult. The AK-203 contract was signed before Russia’s invasion of Ukraine, and geopolitical tensions have since altered global supply chains. 

Some Indian defence analysts have warned that future deals with Russia may face roadblocks, particularly if sanctions disrupt critical components or spare parts.

A Cautionary Tale for India’s Defence Industry

India’s experience with the AK-203 procurement and the SIG716 emergency purchase highlights a broader issue within the country’s defense acquisition process—one that is often slowed by bureaucracy, delayed decision-making, and logistical hurdles.

For decades, India has sought to develop an indigenous defence industry, yet its dependence on foreign arms manufacturers remains significant. 

From the Rafale fighter jets from France to the S-400 missile systems from Russia, India continues to import major weapons platforms instead of developing them domestically.

The AK-203 project was supposed to break that cycle, but its initial setbacks demonstrate why India has struggled to build a truly self-sufficient defense sector.

“Delays in domestic arms production have forced us to spend crores on emergency imports,” said a senior official involved in defence procurement. “We need to fix our system so that we aren’t forced into these last-minute solutions.”

Will AK-203 Production Meet Expectations?

With full-scale production expected to ramp up in 2025 and beyond, the focus now shifts to whether India can meet its ambitious localization targets. 

The ultimate goal is to manufacture over 610,000 AK-203 rifles, ensuring that every frontline soldier is equipped with a modern weapon.

If successful, the project could serve as a blueprint for future indigenisation efforts. If it falters, however, the Army may once again find itself scrambling for foreign rifles to plug gaps in its inventory.

For now, the AK-203 represents India’s best shot at building a self-sufficient infantry weapons program—but only if the government can match its ambition with efficiency and execution.

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