India lands first chemical tanker contract as global shipbuilders take notice

India has recorded a breakthrough in its shipbuilding ambitions after securing its first chemical tanker order, Maritime Executive reports. The contract was awarded to Swan Defence and Heavy Industries Limited (SDHI) and marks a rare decision by a European owner to place a technically complex tanker order at an Indian yard – an important signal for the country’s industrial strategy.

 

The order was placed by Norway-based Rederiet Stenersen, a chemical and product tanker operator with more than five decades of experience in Northern European trades. According to TradeWinds , the owner approached the project with caution, carrying out a detailed technical and commercial review before committing to a newbuilding program outside its traditional shipbuilding regions. The deal, valued at $227 million, was formalized through a Letter of Intent signed in November 2025.

 

The contract covers six 18,000 DWT chemical tankers, each about 150 meters long, with options for six more vessels. Delivery of the first ship is scheduled within 33 months, giving SDHI a clear entry point into the specialized chemical tanker segment – one of the most demanding areas of commercial shipbuilding.

 

The vessels will be designed by Marinform AS together with StoGda Ship Design & Engineering and classed by DNV. Built to Ice Class 1A standards, the tankers will feature LNG-ready dual-fuel hybrid propulsion and high levels of automation. Such specifications are increasingly critical for owners trading in Northern Europe, where environmental rules and operational efficiency directly influence fleet renewal decisions.

 

SDHI, previously known as Reliance Naval and Engineering, was relaunched in 2024 after emerging from bankruptcy under new ownership. The shipyard, located in Pipavav, Gujarat, operates India’s largest dry dock and has an annual fabrication capacity of 164,000 tonnes, positioning it for large commercial projects. Lloyd’s List highlights that the yard’s scale and infrastructure were key factors in convincing foreign owners that India can handle technically complex tonnage.

 

The order also reflects a broader policy shift. India has intensified its efforts to become a global shipbuilding hub, with Prime Minister Narendra Modi setting targets to rank among the top 10 shipbuilding nations by 2030 and the top five by 2047. Recent amendments to the government’s Shipbuilding Financial Assistance Scheme (now covering product and chemical tankers) have materially improved the commercial case for placing orders domestically.

 

Industry momentum is building. The chemical tanker deal follows CMA CGM’s announcement that it plans to construct containerships in India, while authorities continue discussions with major liner operators including Maersk and MSC. Together, these developments suggest India is no longer testing the waters but positioning itself as a credible alternative in the global shipbuilding market.

 

Picture: Swan Defence and Heavy Industries Limited (SDHI)