Larsen & Toubro (L&T), one of India’s engineering and construction giants, is set to significantly scale up operations at its shipbuilding complex in Katupalli, Tamil Nadu. The company has announced a strategic investment of ₹1,000 crore aimed at modernizing and expanding the facility’s modular fabrication and shipbuilding capabilities.

This move reflects India’s growing emphasis on self-reliance in defense manufacturing and maritime infrastructure development. The Katupalli facility, located around 40 kilometers north of Chennai, is expected to see significant enhancements in both infrastructure and operational output over the next three years.

Key Expansion Objectives

The primary goal of the investment is to increase the annual production and repair capacity of the facility, transforming it into a major hub for ship construction and maintenance in South India. The expanded facility will support the following upgrades:

• Increase in ship construction capacity from 15 to 25 ships annually
• Doubling of ship repair work from 30 to 60 ships annually
• Ramp-up in modular fabrication capacity to 50,000 tonnes per annum

To achieve this, L&T will construct additional fabrication shops, paint and assembly workshops, and supporting infrastructure such as office buildings, accommodation facilities, and a skill development center.

Development Timeline

Construction and development activities are expected to commence in October and be completed within a three-year window, significantly enhancing the complex’s production capabilities by 2028.

Current vs. Planned Capacity: Summary Table

Parameter	Current Capacity	Planned Capacity (Post Investment)
Investment Amount	–	₹1,000 crore
Ship Repairs	30 ships/year	60 ships/year
New Ship Construction	15 ships/year	25 ships/year
Modular Fabrication	–	50,000 tonnes/year
Key Infrastructure Additions	–	Fabrication shops, assembly areas, office/residential buildings, skill center
Project Start	–	October (expected)
Completion Timeline	–	Within 3 years

Strategic Location and Capabilities

The Katupalli shipbuilding complex benefits from a strategic coastal location and houses a dedicated design center for warships, as well as multiple berths that enable concurrent shipbuilding and repair activities. This allows L&T to serve both defense and commercial clients efficiently.

Conclusion

This ₹1,000 crore investment underscores L&T’s long-term vision to strengthen India’s maritime infrastructure and align with the national agenda of indigenous shipbuilding and defense self-reliance. With increased capacity and modernized infrastructure, Katupalli is poised to emerge as a key player in the South Asian shipbuilding industry.