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Home » India–Germany $10bn Submarine Deal Moves Forward
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India–Germany $10bn Submarine Deal Moves Forward

An intergovernmental agreement is expected to pave the way for a multi-billion-dollar contract to build next-generation conventional submarines in India with German support, enhancing naval capabilities and indigenous defence production.
News DeskBy News Desk31 January 2026No Comments1 Min Read
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India is poised to finalise a multi-billion-dollar submarine deal with Germany by the end of March, after the two governments signed an Intergovernmental Agreement (IGA) intended to provide long-term support, technology transfer and export clearances for the project.

Under the agreement, Mazagon Dockyards Limited (MDL), India’s leading shipbuilder, and Germany’s Thyssenkrupp Marine Systems (TKMS) will collaborate to construct six next-generation conventional submarines within India, a key component of the Project 75(I) programme.

india germany project 75i submarine deal

The submarines are expected to feature advanced Air Independent Propulsion (AIP) systems that allow extended underwater endurance and increased stealth, significantly strengthening the Indian Navy’s undersea combat capabilities. By boosting domestic shipbuilding expertise and exporting potential, the deal also aligns with broader goals to enhance indigenous defence manufacturing and strategic partnerships.

The first submarines are anticipated to enter service several years after signing, reflecting the technological complexity and scale of the programme.

air independent propulsion submarines banner India conventional submarines India defence manufacturing India Germany submarine deal Indian Navy modernisation Indo German defence cooperation Make in India defence Mazagon Dockyards TKMS next generation submarines India Project 75I submarines technology transfer defence India undersea warfare India
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