South Korea’s HD Hyundai is set to establish a new shipyard in India after signing an exclusive business agreement with the Tamil Nadu state government.
The Indian government earlier shortlisted five states, including Tamil Nadu, Gujarat, and Andhra Pradesh as candidate sites for the construction of the new shipyard, a company spokesperson said.
The Tamil Nadu state government, which has made the establishment of a shipyard its top priority and has expanded efforts to provide incentives and subsidies, enhance infrastructure, and secure skilled talent, has ultimately selected HD Hyundai as its project partner for the establishment of the new shipyard, the company said in a press release.
HD Hyundai said that the Thoothukudi region of Tamil Nadu, cited as one of the candidate sites for the new shipyard, is regarded as an optimal location, with temperature and rainfall conditions similar to those of Ulsan, Korea, where HD Hyundai Heavy Industries is located.
The Tamil Nadu state also hosts major Korean companies, and large-scale investments are planned for nearby port facilities, further raising expectations for future business expansion, the release said.
An HD Hyundai official said, “India is a market with strong growth potential, backed by the government’s robust commitment to fostering the shipbuilding industry,” adding, “We will continue to expand cooperation with India in the shipbuilding and offshore sectors and develop it into a new growth engine.”
Earlier this month, HD Hyundai also signed a memorandum of understanding on the collaboration for maritime and port crane development in India with Bharat Earth Movers Limited (BEML), a state-owned enterprise under the Indian Ministry of Defence, in Bengaluru, southern India.
Through this agreement, HD Hyundai plans to strengthen collaboration with BEML across the entire crane manufacturing process, including design, production, and quality assurance, aiming to gradually build port crane manufacturing capabilities within India. Looking ahead, the company also plans to expand its business by supplying goliath and jib cranes to local shipyards in India.
Earlier in July this year, HD Hyundai signed an MOU with Cochin Shipyard to promote cooperation in a wide range of areas, including design and procurement support, productivity enhancement, and human capital development.
