The US is keen to partner India to jointly develop and manufacture the next generation Javelin anti-tank guided missile under the Defence Trade and Technology Initiative (DTTI).
India had in October decided to buy 8,356 Spike anti-tank guided missile and 321 launchers from Israel for Rs 3,200 crore, rejecting US offer of Javelin missiles that Washington was lobbying hard for.
Describing it as a "lost opportunity", American defence sources said US is now keen to incorporate it under the DTTI.
Told that India has already booked Spike, a sources said, "Yes but our understanding is that India would need more. Both can work on Javelin next generation under DTTI."
US was aggressively pushing for Javelin missiles and had last year also offered to co-produce and co-develop the missileIt had initially not agreed to provide critical technologies of the missile demanded by India and had also shown reluctance to make available the missiles for being evaluated by Indian experts in the field trials.
US has already sold equipment worth Rs 60,000 crore in the past 10 years to India but none of these weapon sales programme is about joint production or co-development and does not include transfer of technology.
However, in a change of attitude, US has agreed with with India on joint development and production of defence systems.
Under DTTI, which was firmed up during US President Barack Obama's visit, both countries agreed on four "pathfinder projects".
These are next generation Raven Minis UAVs, roll on and roll off kits for C-130, mobile electric hybrid power source and Uniform Integrated Protection Ensemble Increment 2.
Both countries also agreed on a working group to explore aircraft carrier technology besides designing and development of jet engine technology.