Defence Minister Rajnath Singh is scheduled to visit Germany on April 22 for talks with ThyssenKrupp Marine Systems on the proposed acquisition of six submarines for the Indian Navy, in a deal estimated at approximately ₹90,000 crore, according to Zee Business. The visit signals a meaningful acceleration in one of India’s largest pending defence procurement programmes and puts Mazagon Dock Shipbuilders Limited — India’s primary naval shipbuilder and the designated construction partner for any domestically produced submarine programme — directly in the market spotlight.
The discussions are centred on two non-negotiable Indian requirements: domestic production of the submarines in India, and full technology transfer from ThyssenKrupp to Indian entities as part of the deal structure. Both conditions are consistent with the government’s Make in India defence manufacturing push and the broader strategic objective of building indigenous submarine construction capability that does not depend on foreign yards for future builds.
What the Six Submarine Project Involves
The project, referred to in defence procurement circles as Project 75 India or P-75I, has been in various stages of evaluation for several years. It calls for the construction of six advanced conventional submarines equipped with air-independent propulsion systems — a technology that allows submarines to operate submerged for significantly longer periods without surfacing to charge batteries, dramatically enhancing stealth and operational endurance compared to conventional diesel-electric boats.
ThyssenKrupp Marine Systems, the German defence shipbuilder, is one of the global contenders for the programme through its Type 212 and Type 214 submarine platforms, both of which incorporate the fuel cell-based AIP technology that India has been seeking. A deal at ₹90,000 crore for six boats would represent one of the largest single defence contracts in Indian history and would fundamentally reshape the Indian Navy’s conventional submarine capability over the next decade.
Domestic Production and Technology Transfer as Red Lines
The Indian government’s insistence on domestic production and technology transfer is not negotiable and will form the core of Rajnath Singh’s discussions in Germany. Under the preferred deal structure, ThyssenKrupp would transfer submarine construction technology to India, with Mazagon Dock Shipbuilders serving as the primary construction yard where the boats would be built under licence and with progressive indigenisation of components over the course of the programme.
This structure mirrors the model used for India’s Scorpène-class submarine programme with France’s Naval Group, where six submarines were built at Mazagon Dock in Mumbai under technology transfer arrangements — a programme that, despite delays, successfully built domestic capacity and established Mazagon Dock as a credible submarine construction facility. The ThyssenKrupp deal would build on that foundation with a more advanced platform and, potentially, a faster indigenisation pathway given the institutional experience already resident at Mazagon Dock.
Mazagon Dock as the Primary Beneficiary
Mazagon Dock Shipbuilders is the most direct listed beneficiary of any progress on this deal. As India’s designated defence shipbuilder with the only operational submarine construction infrastructure in the country, MDL would be the construction partner for any domestically produced submarine programme regardless of which foreign OEM wins the technology transfer contract. An ₹90,000 crore programme spread across the construction of six submarines over a multi-year period would represent a transformative addition to Mazagon Dock’s order book, which already carries a substantial naval surface and underwater vessel pipeline.
The April 22 visit to Germany does not constitute a deal signing — it is a ministerial-level negotiation aimed at advancing the commercial and technical terms of the proposed programme. But the fact that the Defence Minister is making a dedicated bilateral visit specifically for this programme signals that the government is treating P-75I as a near-term priority rather than a long-cycle procurement that can be allowed to drift further.
Zee Business, which reported the development, cited the deal size at approximately ₹90,000 crore. Official confirmation of deal terms, timelines and the final selection of the foreign OEM partner will be subject to the Defence Acquisition Council’s approval process.
Disclaimer: This article is based on reporting by Zee Business and is for informational purposes only. It does not constitute investment advice. Readers are advised to consult a SEBI-registered financial advisor before making investment decisions.