India and South Korea have signed an inter-governmental memorandum of understanding (MoU) to collaborate on defence shipbuilding.
The countries will each nominate one shipyard. India has already selected Hindustan Shipyard Limited (HSL), while South Korea is yet to announce its choice.
HSL has three slipways, a covered building dock, a wet basin and a dry dock, along with the necessary facilities required for shipbuilding, ship repairs and submarine repairs. The shipyard is also planning to upgrade and modernise its facilities.
HSL, along with the recommended Korean partner, will identify and develop indigenous sources/vendors for the supply of the majority of material and equipment.
The MoU was conceived under the overall umbrella of the ‘Special Strategic Partnership’, declared in the joint statement of the prime minister of India and the president of South Korea in May 2015, the Indian Ministry of Defence stated.
The MoU is valid for five years and will be extended for five years at a time, according to the statement.