India’s plan to build a $4-billion greenfield shipyard at Thoothukudi in Tamil Nadu moved forward on Wednesday as Union Ports, Shipping and Waterways Minister Sarbananda Sonowal met HD Hyundai Chairman Chung Ki-sun in Seoul to discuss investment and implementation arrangements.
A joint working group will oversee project development, while the partners will work towards a joint venture structure. A detailed project report is expected to be finalised within six months.
HD Korea Shipbuilding & Offshore Engineering (HD KSOE), HD Hyundai’s shipbuilding arm, reiterated its intent to participate as the primary strategic investor. Its proposed investment structure, equity participation and implementation arrangements remain subject to due diligence and necessary approvals.
The shipyard, being developed under the government’s Shipbuilding Development Scheme, is envisaged to have an annual capacity of approximately 2.5 million gross tonnage, subject to validation through the project report. Once operational, it is expected to be India’s largest commercial shipyard.
Sonowal said the government is committed to supporting the project, which builds on an April 20, 2026, memorandum of understanding between HD KSOE and National Shipbuilding & Heavy Industries Park, Tamil Nadu Limited (NSHIP-TN).
“A greenfield shipyard with $4 billion investment is a massive milestone, and we are completely committed to backing it,” he said.
The MoU was signed during South Korean President Lee Jae Myung’s state visit to India. It followed the adoption of an India–Republic of Korea framework for cooperation in shipbuilding, shipping and maritime logistics.
The detailed project report will cover the proposed vessel mix, production capacity, infrastructure requirements, costs and implementation schedule. Preparatory work will include site assessments, infrastructure planning and preliminary dredging and reclamation studies.
NSHIP-TN will facilitate suitable waterfront land, supporting infrastructure and utilities, and coordinate with central and state authorities for statutory approvals.
Sonowal highlighted demand from Indian public agencies, which are looking to acquire more than 400 vessels in the coming years. He said the proposed yard could meet part of this requirement alongside securing export orders.
“We look forward to HD KSOE deepening its footprint in India through strategic partnerships, technology collaboration and localised manufacturing,” he said.
Beyond construction of the yard, the partnership will focus on technology transfer and workforce training. The partners will explore technical training, knowledge exchanges and collaboration with Indian companies and academic institutions to strengthen domestic shipbuilding capabilities and generate skilled employment.
The proposed shipyard is envisaged as a flagship initiative under the India–Republic of Korea Special Strategic Partnership.
