Germany and India are in the final stages of negotiations for a major defence contract that would see German shipbuilder ThyssenKrupp Marine Systems (TKMS) manufacture six next-generation conventional submarines for the Indian Navy, with an estimated value of at least $8 billion, according to officials familiar with the matter.
The proposed deal, which has been under discussion for several years, involves the construction of six diesel-electric submarines under the Indian Navy’s Project 75(I) programme. The submarines would be built in India with significant technology transfer, aligning with the government’s ‘Make in India’ initiative in defence. The agreement is expected to include local production of major components, training of Indian personnel, and long-term maintenance support.
Sources indicate that the German proposal has gained strong momentum after addressing earlier concerns over technology sharing and pricing. The deal, if finalised, would be one of the largest defence acquisitions by India in recent years and mark a deepening of strategic ties between New Delhi and Berlin in the Indo-Pacific region.
The Indian Navy has been seeking modern, stealthy submarines to replace its ageing fleet, with capabilities for anti-submarine warfare, land-attack missions, and extended underwater endurance. The German Type 212CD design is considered a strong contender due to its proven air-independent propulsion (AIP) technology and low acoustic signature.
Defence officials on both sides have described the talks as “very advanced,” with an announcement expected in the coming months once final commercial and technical details are locked in.
