HD Hyundai's institutional sector intermediate holding company, HD Korea Shipbuilding & Offshore Engineering, announced on the 6th that it has signed a comprehensive memorandum of understanding (MOU) with Cochin Shipyard Limited (CSL), the largest state-owned shipyard in India, for long-term cooperation in the shipbuilding sector. This is the first time a domestic shipbuilder has collaborated with India.
Cochin Shipyard Limited is a state-owned shipyard in which the Indian government holds a 67.91% equity stake. It designs, builds, and repairs a variety of ships, from merchant vessels to aircraft carriers, in Kerala, southern India. Cochin Shipyard Limited has delivered a total of 70 vessels, including 60 small merchant ships and 10 naval vessels, over the past five years.
HD Hyundai seeks to explore growth opportunities alongside India's shipbuilding industry through this agreement. HD Korea Shipbuilding & Offshore Engineering will support Cochin Shipyard Limited in design and procurement, productivity improvement, and technological cooperation to secure global quality standards. Additionally, it will pursue strategic collaboration in various areas, including human resources development and advanced training systems. Both companies agreed to explore ship ordering opportunities together in the Indian and overseas markets in the future.
This cooperation is related to the maritime industry development roadmaps announced by the Indian government in 2021 and 2023, namely, "Vision 2030 for the Indian Maritime Industry" and "Amrit Kal (Golden Age) Vision 2047." The Indian government has set a goal to become the world's 10th largest shipbuilding industry by 2030 and the 5th largest by 2047 through these roadmaps. To achieve this, it is establishing a maritime development fund of approximately 250 billion rupees (4 trillion won) this year and expanding policy support for enhancing its shipbuilding industry and maritime infrastructure.
Supported by national assistance, India's shipbuilding industry is rapidly growing. According to global market research firm Ken Research, the shipbuilding and repair market in India, valued at approximately $90 million (120 billion won) in 2022, has grown to $1.12 billion (1.53 trillion won) as of last year, an increase of over 12 times. It is expected to continue growing at an average annual rate of over 60% until 2033.
HD Hyundai stated, "This cooperation will serve as a springboard for both HD Hyundai and Cochin Shipyard Limited to make a leap forward, and it will become a turning point in accelerating the realization of India's national vision for the maritime industry," emphasizing that it would aim to support Cochin Shipyard Limited in securing its global competitiveness based on HD Hyundai's accumulated technological prowess and experience while seeking concurrent growth with domestic equipment suppliers.