India aims to become a major global shipbuilder amid market concentration
What happened
Sanjeev Sanyal, a member of the Economic Advisory Council, stated that India could become a credible fourth-largest shipbuilder over the next decade. Sanyal noted that India currently builds less than one percent of the world’s ships, but possesses the necessary ingredients, including being the world’s second-largest steel producer and having abundant labor and design capabilities.
Why it matters
The global shipbuilding market is currently highly concentrated among China, Korea, and Japan. India's potential growth could introduce significant competitive pressure into this established global industry. Sanyal suggested that India's existing capability to build complex vessels, such as aircraft carriers, provides a base for expanding into commercial shipbuilding.
Who's involved
- IndiaThe nation expected to scale up its shipbuilding industry.
- Economic Advisory CouncilThe government agency whose member made the projection on India's industrial growth.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- ChinaSpeculative
China might face competitive pressure on its dominant market share from the expansion of Indian shipbuilding capacity.
Keep exploring
The entities involved
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Korea
region in East Asia
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China
cultural region, ancient civilization, and nation in East Asia; mostly refers to the People's Republic of China in political situation and rarely refers to the Republic of China