Larsen & Toubro (L&T), a prominent Engineering and Construction company, announced a collaboration with Spanish shipbuilder Navantia to jointly bid for a submarine tender by the Indian Navy. The tender, estimated to be worth over 4.8 billion euros ($5.26 billion), is part of the Indian Navy’s Project 75 (India), which mandates domestic firms to partner with foreign companies to manufacture six conventional submarines equipped with air-independent propulsion (AIP) technology.
Building a Strategic Partnership: MOU for Project 75 (India)
In April, L&T and Navantia signed a memorandum of understanding (MOU) to formalise their partnership and participate in the bidding process for Project 75 (India). This collaboration underscores the significance of international cooperation in meeting the Indian Navy’s submarine requirements.
Roles and Contributions: L&T to Construct, Navantia to Design Submarines
Under the agreement, Larsen & Toubro will undertake the construction of the submarines, leveraging its expertise in engineering and construction. Navantia, on the other hand, will provide the submarine designs based on its S80 class of submarines, a product of the Spanish state-owned shipbuilder. Additionally, Navantia will contribute the air-independent propulsion system, enabling submarines to operate submerged for extended durations.
L&T’s Expertise in Defence Vessels
With a rich history in the defence sector, Larsen & Toubro has already built over 65 defence vessels, both independently and in collaboration with partners. The company’s track record includes the successful delivery of several vessels for the Indian Navy and Coast Guard, showcasing their experience and capabilities in the field.
Competing Players: Thyssenkrupp and Mazagon Dock Shipbuilders
Last month, Germany’s Thyssenkrupp and Indian firm Mazagon Dock Shipbuilders, the only other qualified domestic participant in the tender, announced their agreement to participate in the bidding process. This development highlights the competitive landscape and the significance of securing partnerships to meet the Indian Navy’s submarine requirements.
As India continues to allocate significant funds for its navy, with a budget of 560 billion rupees ($6.8 billion) approved in March, the need to modernise and expand its submarine fleet becomes evident. With collaborations such as L&T and Navantia’s partnership, India aims to strengthen its naval capabilities and address the challenges posed by an ageing submarine fleet.
