HD Hyundai Signs MOU with Indian State Government for New Shipyard Construction

Exclusive MOU Signed for New Shipyard Project
Optimal Site Selection Based on Climate Similarity to Ulsan
Joint Port Crane Business with Indian State-Owned Enterprises

HD Hyundai announced on December 8 that it has recently signed an exclusive memorandum of understanding regarding the construction of a new shipyard in Madurai, Tamil Nadu, southern India, with the participation of M.K Stalin, Chief Minister of the state, T.R.B Rajaa, Minister of Industry, and Choi Han-nae, Head of Planning Division at HD Korea Shipbuilding & Offshore Engineering. Through cooperation with India, which is strongly committed to fostering its shipbuilding industry, HD Hyundai is expected to seek new growth drivers in the shipbuilding and offshore sectors.

HD Hyundai has signed an exclusive memorandum of understanding with the Tamil Nadu state government investment agency in India regarding the construction of a new shipyard. From the front row, left to right: Darez Ahamed, Head of the State Investment Agency; T.R.B Rajaa, Minister of State for Industry; M.K Stalin, Chief Minister of the State; and Choi Han-nae, Head of Planning Division at HD Korea Shipbuilding & Offshore Engineering. HD Hyundai

The Indian government is strategically promoting the "Maritime Amrit Kaal Vision 2047" to become one of the world's top five shipbuilding and maritime powers. To achieve this, the government is actively considering not only expanding existing shipyards but also building new ones.

Currently, the Indian government has selected five states, including Tamil Nadu, Gujarat, and Andhra Pradesh, as candidate sites for new shipyards and is searching for the most suitable locations. The Tamil Nadu state government, which has made attracting a shipyard its top priority for revitalizing the local economy, has chosen HD Hyundai as its final business partner for the new shipyard project, while expanding efforts to provide incentives and subsidies, enhance infrastructure, and secure top talent.

Thoothukudi in Tamil Nadu, mentioned as one of the candidate sites for the new shipyard, is considered an optimal location due to its climate and rainfall, which are similar to Ulsan, South Korea, where HD Hyundai Heavy Industries is based. Tamil Nadu is also home to major Korean conglomerates such as Hyundai Motor and Samsung Electronics, and large-scale investments are planned for nearby port facilities, raising expectations for future business expansion.

Earlier this month, HD Hyundai also signed a memorandum of understanding in Bengaluru, a city in southern India, with BEML, a state-owned enterprise under the Indian Ministry of Defence, to expand cooperation in the crane business. Headquartered in Bengaluru, BEML operates in defense and aerospace equipment, mining and construction machinery, and railway and metro vehicles, with multiple production bases in southern India, including Bengaluru and Kolar. Through this agreement, HD Hyundai plans to expand cooperation with BEML across all stages of crane manufacturing, including design, production, and quality verification, and to gradually establish its capability to manufacture port cranes in India. In the future, the company aims to expand its business scope by supplying Goliath cranes and jib cranes to local Indian shipyards.

In this context, HD Hyundai Samho, a shipbuilding affiliate of HD Hyundai, successfully delivered a 600-ton Goliath crane to Cochin Shipyard, India's largest state-owned shipbuilder, in February. In August, HD Korea Shipbuilding & Offshore Engineering, the intermediate holding company for shipbuilding, acquired HD Hyundai Ecovina from Doosan Enerbility, further expanding HD Hyundai's crane business.

In July, HD Hyundai signed a memorandum of understanding with Cochin Shipyard, India's largest state-owned shipbuilder, to cooperate in various areas, including design and procurement support, productivity improvement, and human resource development. Recently, the scope of cooperation has been expanded to include naval ship projects, further strengthening HD Hyundai's presence in India.