by Lloyd's List
7 July 2025 (Lloyd's List) - THE largest shipbuilders in South Korea and India are seeking to cooperate on technology and capacity, with plans to form the first shipyard alliance between the two countries.
HD Korea Shipbuilding & Offshore Engineering and Cochin Shipyard said they had signed a memorandum of understanding to co-operate in shipbuilding projects.
This first-of-its-kind partnership aims to leverage the strengths of both companies as they target new opportunities in Indian and international markets, against a backdrop of rising global demand and shifting geopolitical dynamics.
The deal follows a December 2024 visit by Indian officials to HD KSOE’s Ulsan shipyard. The delegation included TK Ramachandran, secretary of the Indian Ministry of Ports, Shipping & Waterways, and Madhu Nair, chief executive of Cochin Shipyard.
Under the agreement, the two companies will promote strategic cooperation in various areas, including design and procurement support for Cochin Shipyard, technical collaboration to enhance productivity and quality at a global level, and the advancement of workforce training systems.
The partners also plan to pursue joint opportunities to secure orders in both Indian and international markets.
Last month, HD Hyundai, HD KSOE’s parent, and Cochin Shipyard were reportedly considering more than $1bn investment in a new “mega” facility in Tamil Nadu, India.
The latest initiative reflects the shared interests of both companies. HD Hyundai expects the partnership to strengthen its presence in India — the world’s most populous nation — and bolster its global competitiveness in shipbuilding.
For Cochin Shipyard, the collaboration aligns with the Indian government’s maritime development roadmaps. The government currently holds a 67.91% stake in the shipbuilder.
According to India’s mid- and long-term strategy, the country aims to become one of the world’s top 10 shipbuilding nations by 2030 and one of the top 5 by 2047, supported by a government maritime development fund of approximately $2.9bn raised this year.
HD Hyundai stated: “This collaboration will serve as a springboard for both companies to reach new heights, while also marking a turning point in accelerating India’s national maritime vision.”
Current China-US trade tensions over port fees imposed on China-owned and -built ships have also contributed to the timing of this agreement, as non-Chinese builders are expected to gain more opportunities to expand their markets share.
A report from the Korea Institute for International Economic Policy noted: “India's shipbuilding industry is expected to grow rapidly through active government support and international co-operation centred on technology and investment. Co-operation between South Korea and India in the shipbuilding industry will help to increase Korea’s maritime influence in India and neighbouring regions.”
According to Ken Research, India’s shipbuilding and repair market grew from around $90m in 2022 to over $1.1bn in 2024, and is expected to continue expanding at an average annual growth rate exceeding 60% through 2033.
