The Ministry of Defence is preparing to approach the Cabinet Committee on Security (CCS) for approval to construct six air-independent propulsion (AIP) submarines at Mazagon Dock Shipbuilders Limited (MDL), marking a significant step in India’s naval modernization drive. The project, to be executed in collaboration with Germany’s ThyssenKrupp Marine Systems (TKMS) under Project 75 India, is estimated to cost $8 billion (₹66,000 crore), with the submarines expected to be commissioned by the end of this decade.

Officials indicated that the cost negotiating committee (CNC) has concluded its negotiations, ensuring that the construction price for each submarine remains within the projected budget. The Indian Navy anticipates that the CCS will grant approval within the current fiscal year, following necessary clearances from the finance department.

Strategic Imperative and Regional Context

India has opted to fast-track the project due to regional security developments, particularly Pakistan’s planned acquisition of eight Yuan (Hangor)-class AIP-equipped diesel attack submarines from China between 2026 and 2028. Four of these submarines are being built in China, with the remaining four slated for construction at Karachi. The operationalization of these vessels will significantly enhance Pakistan’s capabilities for area denial in the north Arabian Sea and strengthen its sea-based deterrent, posing strategic challenges for the Indian Navy.

Past operational experiences underscore the strategic importance of undersea warfare capabilities. During Operation Sindoor, Indian Navy submarines approached within 200 nautical miles of Karachi, prompting the Pakistan Navy to reposition its major surface combatants toward Ormara, Pasni, and Gwadar harbors. The exercise highlighted the efficacy of India’s submarine-based deterrent in influencing adversary movements and operational calculations.

Need for AIP Submarines

While India already operates nuclear-powered submarines with strategic strike capability, the Navy requires AIP-equipped diesel-electric submarines for extended stealth operations in the Indo-Pacific region. Conventional diesel-electric submarines must surface frequently to recharge batteries, limiting their operational endurance. In contrast, AIP submarines utilize fuel cell technology, allowing them to remain submerged longer without compromising speed or stealth, thereby enhancing their survivability and deterrence potential. Once fuel cells are exhausted, the vessels revert to conventional diesel-electric operation, though at slightly lower speeds.

The six submarines under Project 75 India will also be capable of launching submarine-launched cruise missiles (SLCMs), further bolstering India’s sea-based strike capabilities and ensuring a credible second-strike deterrent.

Complementary Naval Modernization

The AIP submarine program complements other ongoing initiatives to expand India’s undersea fleet and strategic deterrent. Key developments include:

• The acquisition of an Akula-class nuclear-powered conventionally armed submarine from Russia between 2027-2028.
• Commissioning of two additional SSBNs, INS Aridhaman and INS AriSudan, enhancing India’s nuclear triad.
• Construction of two SSNs under Project 77, approved in 2025 for the Strategic Forces Command, providing additional conventional and strategic strike capabilities.

These initiatives collectively aim to create a robust and survivable underwater force, capable of safeguarding India’s maritime interests and projecting power in the Indo-Pacific theater.

Economic and Industrial Impact

The Project 75 India initiative also emphasizes domestic shipbuilding and technology transfer, strengthening India’s indigenous defense industrial base. MDL, a key naval shipyard, will play a central role in the construction and integration of AIP systems in collaboration with TKMS, which brings extensive experience in submarine design and construction. The program is expected to generate high-skilled employment and technical expertise within the domestic maritime sector.

Timeline and Outlook

With CNC negotiations concluded, the defence ministry is poised to submit the proposal to CCS, which is expected to review and approve the project within the fiscal year. Following approval, construction is expected to commence soon, with the six AIP submarines entering service gradually by the end of the decade, significantly enhancing India’s undersea warfare capabilities.

In summary, Project 75 India represents a strategically urgent, technologically advanced, and economically significant program. The acquisition of AIP submarines, combined with nuclear-powered and conventional assets, will consolidate India’s undersea deterrence, ensure area denial capabilities in critical maritime zones, and maintain credible operational parity with regional adversaries in the coming decade.