MOL eyes major India expansion with focus on shipbuilding and auto logistics
New Delhi, May 23. Japanese shipping giant Mitsui OSK Lines (MOL) is stepping up its long-term India strategy with plans to explore shipbuilding opportunities and expand its automobile logistics network, signalling growing international confidence in India’s maritime ambitions.
MOL President and CEO Jotaro Tamura has indicated that the company sees India as a potential alternative global shipbuilding destination as the industry looks to diversify beyond traditional manufacturing centres in East Asia. The proposed expansion aligns with the company’s ‘Blue Action 2035’ roadmap, which emphasises regional growth, green technology and diversification into non-shipping businesses.
Tamura said the emergence of another major shipbuilding nation would be positive from a global perspective, underscoring India’s increasing relevance in the maritime sector. India has set an ambitious target of becoming a leading shipbuilding hub by 2047 and has rolled out several policy initiatives to support the sector, including the extended Shipbuilding Financial Assistance Scheme, the Maritime Development Fund and the Shipbuilding Development Scheme.
Industry observers expect MOL to adopt a phased approach if it enters shipbuilding in India, likely beginning with bulk carriers before moving to more technologically advanced vessels as domestic shipyards gain experience and capacity.
Alongside shipbuilding, MOL is aggressively expanding its logistics and terminal infrastructure in India to capitalise on the country’s rapidly growing automobile exports. The company already handles nearly half of India’s car export transportation business and now plans to develop additional roll-on, roll-off (RORO) terminals while strengthening inland logistics networks.
The expansion comes as India’s automobile exports continue to surge, driven by rising overseas demand for vehicles manufactured in the country. MOL aims to provide integrated logistics solutions linking factories, ports and overseas markets, reinforcing India’s role as a global automotive export base.
The company is also increasing the number of vessels registered under the Indian flag to take advantage of government incentives for Indian-flagged ships. In parallel, MOL Plus, the group’s venture capital arm, is expanding investments in Indian startups focused on logistics, sustainability and maritime innovation.
Despite the optimism, challenges remain. India’s shipbuilding sector is still relatively small compared to dominant global players such as China, South Korea and Japan. Domestic shipyards face limitations in infrastructure, technology and production capacity, particularly for large and sophisticated vessels. Analysts say it could take years for Indian yards to match the capabilities of established Asian competitors.
MOL’s automobile logistics business could also face increasing competition from major global RORO operators amid evolving trade conditions and geopolitical tensions. Shipping disruptions in West Asia and rising freight costs continue to create uncertainty for global maritime trade flows.
Nevertheless, MOL appears committed to deepening its India presence as part of a broader strategy to reduce dependence on volatile freight markets and build stable long-term revenue streams. The company’s plans complement India’s Maritime Amrit Kaal Vision 2047, which seeks to transform the country into a major global maritime and logistics hub.
