South Korea’s HD Hyundai is moving ahead with plans to set up a major shipbuilding facility in India, following the signing of an exclusive agreement with theTamil Nadu government. The pact was formalised recently in Madurai.
The proposed shipyard is estimated to involve an investment of around USD 2 billion. HD Hyundai, however, clarified that the size and structure of the investment are still under evaluation.
The initiative aligns with India’s broader push to elevate its shipbuilding ecosystem and emerge as the world’s fifth-largest maritime manufacturing hub. Tamil Nadu is one of the four shortlisted states for new shipyard development, alongside Gujarat and Andhra Pradesh. Should the state be formally chosen, HD Hyundai is expected to emerge as a leading partner in India’s flagship shipyard expansion program.
The Thoothukudi region has been highlighted by the company as a strong contender for the project, owing to its climatic similarity to Ulsan—the base of HD Hyundai Heavy Industries—and ongoing investments in adjacent port infrastructure.
HD Hyundai has been steadily deepening its engagements in India. Earlier this month, it signed a cooperation agreement with BEML, a public-sector company under the Ministry of Defence, to strengthen collaboration in crane manufacturing. The partnership will span design, production, and quality assurance, with plans to supply Goliath and jib cranes to Indian shipyards.
In July, the South Korean major entered into a long-term memorandum of understanding with Cochin Shipyard Limited, India’s largest state-owned shipbuilder. That partnership has recently broadened to include naval shipbuilding projects, reflecting HD Hyundai’s strategy to expand its presence in India’s fast-growing maritime sector.
