India to Finalize Two Major Submarine Projects Worth Over ₹1 Lakh Crore to Enhance Naval Strength

India is poised to finalize two significant submarine acquisition projects valued at over ₹1 lakh crore, marking a critical move to bolster the Navy's undersea warfare capabilities amidst China's increasing assertiveness in the Indo-Pacific region.

Authorities in the defense sector indicate that both contracts are anticipated to be concluded by mid-2026, following years of bureaucratic delays and technical discussions.

The first initiative involves acquiring three more Scorpene-class diesel-electric submarines, to be produced in collaboration between Mazagon Dock Limited (MDL) in Mumbai and France’s Naval Group. This follow-on order, estimated at ₹36,000 crore, extends Project-75, under which six Scorpene submarines — INS Kalvari, Khanderi, Karanj, Vela, Vagir, and Vagsheer — were delivered between 2017 and 2024. These additional submarines aim to fill critical gaps as older Russian Kilo-class and German HDW submarines approach retirement.

Concurrently, the Ministry of Defence is progressing with Project-75 India (P75-I), a ₹65,000-crore program to build six new-generation stealth submarines featuring Air Independent Propulsion (AIP) and advanced weapon systems. German shipbuilder ThyssenKrupp Marine Systems (TKMS) has teamed up with MDL for this project, considered one of the largest "Make in India" defense initiatives.

Negotiations over the costs for P75-I are projected to take between six to nine months, with the final contract likely to be signed in 2026. However, the delivery of both Scorpene and P75-I submarines is expected to start only around 2032, due to the extensive timelines involved in shipbuilding.

The Navy has underscored the need for speed, cautioning that delays could compromise India's maritime strength in the Indian Ocean Region (IOR), where the Chinese PLA Navy has been intensifying its submarine patrols. MDL has been instructed to enhance its infrastructure to handle both projects simultaneously, avoiding the hindrances faced in previous submarine programs.

This push for submarines follows other significant Indo-French defense agreements, including the ₹64,000-crore Rafale-Marine contract signed in April 2025 for INS Vikrant. Together, these acquisitions reflect India's strategy to enhance both air and undersea warfare capabilities concurrently.

Defense analysts consider these submarine projects a pivotal phase in India's maritime security strategy. The Scorpene order provides immediate reinforcement with proven technology, while P75-I secures long-term potential with advanced capabilities.