Last Updated:May 27, 2025, 13:42 IST
Naidu has reportedly offered 10,000 acres in the Lepakshi-Madakasira region and has sought the relocating of the HAL manufacturing unit from Bengaluru to Andhra Pradesh.

Karnataka and Andhra Pradesh have locked horns over the relocation of HAL's manufactuing unit from Bengaluru. (Image: X/@DefenceMinIndia)
As the Centre approves the AMCA program execution model, Andhra Pradesh and Karnataka are in dispute over the manufacturing location. Reports suggest that Chandrababu Naidu has proposed relocating the HAL manufacturing unit from Bengaluru to Lepakshi in Andhra Pradesh.
Meanwhile, the Karnataka state government stated that HAL is Karnataka’s pride and will seek a defense corridor for the state.
Reports have emerged indicating that Chandrababu Naidu, in his efforts to attract defense manufacturing to Andhra Pradesh, has requested the Union government to shift HAL’s LCA and AMCA manufacturing units to Andhra Pradesh.
According to sources, Naidu has reportedly offered 10,000 acres in the Lepakshi-Madakasira region, which is barely 100 km from Bangalore. Naidu met with Rajnath Singh in Delhi last week.
This has prompted the Karnataka Government to take action. Karnataka Industries Minister MB Patil stated that the state will not allow such a shift and termed Andhra Pradesh’s action “unjustifiable".
It has been learnt that the Karnataka Minister is likely to meet Defense Minister Rajnath Singh and will urge the Centre to approve the Defence Corridor project for the state.
Patil made it clear that Karnataka would not allow any dilution of its aerospace leadership. “I will soon meet Defence Minister Rajnath Singh and also discuss the matter with our Chief Minister and the principal secretary. If such a proposal has indeed been made, it is inappropriate," he said while talking to the reporters.
Patil also said he would speak to Union ministers from Karnataka to ensure the state’s interests are safeguarded. He further stated that the request for setting up of a unit in Andhra Pradesh as part of HAL’s expansion plans is understandable, but asking to transfer the existing Bengaluru operations is not justifiable.
Location : First Published:News india Andhra Pradesh Vs Karnataka Over HAL's Manufacturing Unit | What We Know