India-Germany submarine deal moves toward final approval

World Saturday 22/August/2026 10:35 AM
By: Agencies
India-Germany submarine deal moves toward final approval

India’s long-delayed plan to build six advanced conventional submarines with Germany is moving closer to final approval, potentially marking a major step in New Delhi’s efforts to strengthen domestic defence manufacturing and counter growing undersea activity by Pakistan and China.

The US$7.3 billion Project 75(I) programme envisages construction of the submarines with Germany’s ThyssenKrupp Marine Systems (TKMS), primarily at Mumbai-based Mazagon Dock Shipbuilders. The proposal is expected to go before India’s Cabinet Committee on Security, with approval clearing the way for the contract to be signed.

The project has faced years of delays because of complex technical evaluations and negotiations over commercial terms. It is now being viewed as a key test of India’s “Make in India” defence ambitions, particularly its goal of acquiring advanced technology while developing a domestic submarine-building capability.

The urgency has increased as much of India’s conventional submarine fleet ages. Around two-thirds of its diesel-electric submarines are more than 25 years old and approaching the end of their operational lives.

Pakistan, meanwhile, received its first Chinese-built Hangor-class submarine in June as part of an eight-submarine programme. Analysts say the vessels could significantly enhance Pakistan’s ability to conduct covert operations in the Arabian Sea.

China’s expanding naval presence across the Indian Ocean has added another layer of concern for New Delhi, creating what security analysts describe as a potential two-front undersea challenge.

The submarines are expected to strengthen India’s ability to monitor maritime chokepoints and protect critical sea lanes linking the Indian Ocean with major global trade routes.

Advanced propulsion and technology transfer

A major attraction of the German proposal is the expected incorporation of advanced Air Independent Propulsion (AIP) technology, allowing conventional submarines to remain underwater for considerably longer periods than conventional diesel-electric boats.

The first submarine is expected to be delivered roughly seven years after the contract is signed, with subsequent boats potentially following annually.

The programme also places strong emphasis on technology transfer. Local content is expected to rise from around 45% on the first submarine to about 60% on later vessels, according to defence experts cited in the report.

TKMS has pledged extensive technology transfer under the Make in India framework. The company will work with Mazagon Dock to integrate Indian requirements, potentially creating deeper cooperation between Indian and German engineers rather than simply transferring designs under a conventional licensing arrangement.

“This converts the project from a licence into a collaboration,” retired Brigadier Sanjay Iyer said.

Building India’s submarine industry

The partnership has historical significance. Mazagon Dock previously built German HDW Type 209/1500 submarines under a licence and technology-transfer agreement between 1984 and 1994. The experience helped India develop expertise in assembling and maintaining German-designed submarines.

The new project is expected to go further by transferring not only technical “know-how”, but also the “know why” behind submarine design and future modifications.

That could help India develop the expertise needed to design, upgrade and eventually build more sophisticated submarines independently.

For Germany, the programme also represents an important expansion of defence ties with India. Berlin has become increasingly willing to deepen defence-technology cooperation with New Delhi following Russia’s invasion of Ukraine, as Germany seeks stronger partnerships in the Indo-Pacific and India looks to reduce its dependence on Russian military equipment.

If approved, Project 75(I) could therefore serve two strategic objectives: rapidly strengthening India’s ageing submarine fleet while creating a deeper domestic industrial and technological base for future underwater warfare capabilities.