SOURCE: AFI
Larsen & Toubro’s (L&T) defence division, L&T Defence, is undergoing a strategic shift. The company announced plans to diversify into producing non-military equipment and infrastructure, leveraging its existing expertise and resources. This move aims to better utilize its manufacturing capabilities while the company awaits larger defense contracts.
To reflect this new business strategy, L&T Defence has transformed into L&T Precision Engineering and Systems, effective April 1st, 2024. This name change signifies the company’s expanded focus beyond solely military applications.
The core idea behind this diversification is to utilize L&T’s advanced manufacturing facilities, originally designed for defence purposes, to produce non-military equipment. This approach allows the company to maximize the potential of its existing infrastructure while seeking new market opportunities.
While venturing into the civilian sector, L&T Precision Engineering and Systems remains optimistic about securing larger defence contracts from both the Indian government and international clients in the coming years. The company’s strong foundation in defence manufacturing, encompassing a wide range of products like guns, armored vehicles, missiles, and sophisticated systems, positions it well for future prospects in the defence sector.
L&T boasts a rich history in defence manufacturing. The company possesses significant facilities dedicated to this sector, including an armoured systems complex in Hazira, Gujarat, and a shipbuilding facility near Chennai. This infrastructure and expertise will prove valuable as they transition into producing non-military equipment.