Thoothukudi Shipyard: Sonowal Meets HD Hyundai Chief in Seoul

Union Minister of Ports, Shipping and Waterways Sarbananda Sonowal met Chung Ki-sun, Chairman of HD Hyundai, in Seoul on 28 October 2026 and settled the next steps for India's proposed greenfield shipyard at Thoothukudi in Tamil Nadu. The meeting fell during the Minister's four-day visit to South Korea, which is given over to shipbuilding and the wider maritime industry.

What was decided

HD Korea Shipbuilding and Offshore Engineering (HD KSOE), the shipbuilding arm of HD Hyundai, repeated its intent to come in as the primary strategic investor, bringing its experience in yard design, construction, advanced manufacturing and operations. A joint working group of officials from both sides will now steer project development. The two sides will work out a suitable joint venture structure, and the Detailed Project Report is to be ready within six months, covering the vessel product mix, production capacity, infrastructure needs, project cost and the implementation schedule.

The yard itself

The shipyard is being developed under the Government of India's Shipbuilding Development Scheme and is planned for an annual capacity of about 2.5 million Gross Tonnage, a figure still to be validated through the Detailed Project Report. Once it is working, it is expected to be the largest commercial shipyard in the country. National Shipbuilding and Heavy Industries Park, Tamil Nadu Limited (NSHIP-TN) is to arrange suitable waterfront land, build the enabling infrastructure and utilities, and take statutory clearances through with central and state authorities. Site assessment, infrastructure planning and preliminary dredging and reclamation studies are already under way.

How the project came about

• The India and Republic of Korea Comprehensive Framework for Partnership in Shipbuilding, Shipping and Maritime Logistics was adopted in April 2026
• HD KSOE and NSHIP-TN signed a Memorandum of Understanding on 20 April 2026, during the state visit of Korean President Lee Jae Myung
• Sonowal called that memorandum the bedrock of the Thoothukudi plan and the 4 billion dollar greenfield yard a massive milestone
• The yard is cast as a flagship initiative under the India and Republic of Korea Special Strategic Partnership

Demand at home

The Minister said the domestic market is booming and that public agencies in India are looking to buy more than 400 vessels in the years ahead. Besides export orders, he expects the mega yard in Tamil Nadu to build many of those identified vessels. Technology transfer and the skilling of workers sit at the centre of the plan: technical training, exchange of knowledge and tie-ups with Indian industry and academic institutions are to be explored so that indigenous shipbuilding capability grows and skilled jobs are created. Sonowal described the partnership as a defining cornerstone of the wider relationship between the two countries, joining Korean technological strength to India's market scale.