As India injects massive policy funds to develop its shipbuilding industry into a strategic national sector, South Korea’s shipbuilders are emerging as ideal partners. With India seeking skilled international collaborators to enhance its shipbuilding capabilities, Korean companies are well-positioned to benefit, thanks to their technological strengths, eco-friendly expertise, and stable diplomatic relations with India.
India’s Major Investment Push
On September 30, the Indian government approved an investment package worth 697.25 billion rupees (approximately 1.128 trillion won) to boost its shipbuilding sector. The funding will support financial incentives for shipbuilders, the creation of dedicated shipbuilding clusters, and the establishment of advanced ship technology centers. This move marks one of India’s most significant steps yet to build a competitive global shipbuilding presence.
Strategic Cooperation with Korean Shipbuilders
India has reached out to South Korea a global shipbuilding powerhouse for collaboration. In recent months, a high-level Indian government delegation visited the facilities of HD Hyundai Heavy Industries, Samsung Heavy Industries, and Hanwha Ocean to explore potential partnerships.
Several agreements have already taken shape:
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HD Korea Shipbuilding & Offshore Engineering signed a comprehensive MOU with Cochin Shipyard Limited, India’s largest state-owned shipyard, in July 2025.
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Hanwha Ocean has opened a global engineering center in northern India to expand technical cooperation.
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Samsung Heavy Industries signed an MOU with Swan Shipyard in northwestern India to collaborate on shipbuilding and offshore projects.
Korean shipbuilders view India as a promising market for exporting marine equipment, accessing skilled labor, and diversifying production bases.
India’s Growing Ambitions and Challenges
India’s shipbuilding ambitions mirror the early trajectory of China’s industry, driven by abundant labor and strong government backing. However, despite the bold vision, India’s current global shipbuilding market share stands at just 0.06%, with orders mainly for small, low-cost container ships. Experts note that collaboration with advanced nations like South Korea could help India climb the value chain.
Industry officials believe the partnership is mutually beneficial. “From India’s perspective, Korean shipbuilders are optimal partners who can strengthen the country’s shipbuilding capabilities without posing a military threat,” one expert commented. As both nations deepen cooperation, the partnership could reshape Asia’s maritime manufacturing landscape positioning India as an emerging player and South Korea as a strategic enabler of its growth.
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Source: Chosun Biz
