The Congress-led Karnataka government has dismissed reports of any sort of relocation of Hindustan Aeronautics Limited (HAL) production units to Andhra Pradesh after the state's chief minister N Chandrababu Naidu reportedly floated a proposal for the same.

During his recent meeting with defence minister Rajnath Singh, Chandrababu Naidu sought support to transform Andhra Pradesh into an aerospace and defence industries hub, Hindustan Times earlier reported.
He presented Rajath Singh a series of plans, including the development of a defence cluster between Jaggayyapet and Donakonda on 6,000 acres of land for establishing missile and ammunition production units.
“Similarly, in the Lepakshi–Madakasira region, with 10,000 acres available, we proposed setting up facilities for military and civil aircraft manufacturing, along with electronics production. The defence minister responded positively to the idea of building a full-fledged aerospace ecosystem,” Naidu said.
The chief minister said his government also requested the establishment of naval equipment production and weapon testing facilities in the Visakhapatnam-Anakapalli region.
Naidu, anticipating ₹2.5 lakh crore inorders by FY26, said HAL is expanding the production of Light Combat Aircraft (LCA) and Light Combat Helicopter (LCH) and expressed Andhra Pradesh's eagerness to facilitate the expansion by offering land and infrastructure.
ALSO READ | ‘Nehru gave us HAL, it’s our pride’: DK Shivakumar counters Andhra’s bid to shift defence projects from Bengaluru
{{/usCountry}}Naidu, anticipating ₹2.5 lakh crore inorders by FY26, said HAL is expanding the production of Light Combat Aircraft (LCA) and Light Combat Helicopter (LCH) and expressed Andhra Pradesh's eagerness to facilitate the expansion by offering land and infrastructure.
ALSO READ | ‘Nehru gave us HAL, it’s our pride’: DK Shivakumar counters Andhra’s bid to shift defence projects from Bengaluru
{{/usCountry}}The government has also proposed to develop units focused on military drones, robotics and advanced defence components in 4,000 acres of land at Orvakal in Kurnool district, he added.
Karnataka large and medium industries minister MB Patil on Monday termed Naidu's pitch as “inappropriate and worrying”. Patil said Naidu can well ask for an HAL unit to be set up in his state, “but in case he has asked for shifting what is there in Karnataka, it is inappropriate”.
The Karnataka minister emphasised that Andhra can seek HAL's presence in any future expansions, but not at the cost of the existing infrastructure in Karnataka.
Patil, again on Tuesday, said to his knowledge, no chief minister can request the shifting of HAL elsewhere. "He may have said that future expansions or one more HAL unit (could) come over there. And if I am right, I don't think he can say, and he would not have said to shift the HAL operations elsewhere".
Karnataka chief minister Siddaramaiah also dismissed the possibility of relocation, saying, “I do not know, far as my knowledge goes, it cannot be. It will not be shifted."
Andhra refutes ‘shifting pitch’
Meanwhile, the Andhra CM's office has clarified that they did not pitch for the shifting of any facility. Naidu had merely offered 10,000 acres of land in the Lepakshi-Madakasira region for any HAL expansion plans.
"Defence units like these need setbacks as well, which is possible here in Andhra Pradesh and may be tough in Karnataka," NDTV reported, citing a top source from Naidu's meeting with Rajnath Singh.
Karnataka won't allow HAL to be shifted
Karnataka deputy chief minister DK Shivakumar on Tuesday said that the state government would not allow HAL to be shifted out of Bengaluru.
"I don't want to comment on whatever they (Andhra) demand. I want Parliament members and Central ministers to react to this, but as the government, we will not allow anything to be shifted. We will give land if they want to expand," Shivakumar told reporters.
He asserted that as far Karnataka is concerned, HAL is the state's pride, one that was given to them by former prime minister Jawaharlal Nehru.
On the same day, defence minister Rajnath approved the execution model for the Advanced Medium Combat Aircraft (AMCA) programme, a project central to HAL's future and India's push for indigenous defence.
The timing of Singh's approval also concerned Karnataka as the AMCA project is expected to be a cornerstone of India's aim for self-reliance in defence manufacturing.
The ministry of defence is yet to officially comment on the matter.