Mega Shipbuilding component hub likely in the works for Thoothukudi

THOOTHUKUDI : Chennai Radha Engineering Works (CREW), in collaboration with a foreign partner, is planning to invest around ₹1,500 crore in establishing one of South India’s largest shipbuilding component manufacturing units in Thoothukudi.The project is expected to involve a major port stakeholder, leveraging Thoothukudi’s strategic coastal infrastructure.

This initiative fits within Tamil Nadu’s maritime transport manufacturing policy 2025, which aims to position the state as a global shipbuilding hub, jobs creation (estimated 30,000 new roles in regions like Tuticorin and Cuddalore), and development of MSMEs and supplier networks.

The state is in bilateral talks with companies from Japan, South Korea, and other global players, and Thoothukudi is seen as a promising site for next-generation shipyards and component clusters.

Chief Minister M K Stalin officially inaugurated VinFast’s first fully operational overseas electric vehicle plant on 4 August 2025, roughly 17 months after the foundation stone was laid in February 2024.

The plant is located within SIPCOT’s 400‑acre industrial estate at Sillaanaththam, Thoothukudi. Groundbreaking occurred on 25 February 2024, following an MoU signed during the Global Investors Meet in Chennai earlier that month. Total committed investment of ₹16,000 crore (approx. US $2 billion), with an initial phase capex of about ₹4,000–4,300 crore .

The Phase‑1 capacity is set at 50,000 EVs annually, with the ability to scale up to 150,000 units per year as demand grows.