As China Seeks To Stall India’s Progress, New Delhi Plots A German Checkmate | India News
Germany’s Herrenknecht AG, one of the world’s leading tunnel boring machine (TBM) manufacturers, is expanding its operations in Chennai with a new 12.4-acre manufacturing facility in North Chennai, in a move that underlines India’s strategic commitment to reduce dependence on China. The expansion comes at a time when many major Indian infrastructure projects, from metro corridors to hydroelectric tunnels, are facing delays due to China blocking TBM exports. According to industry reports, the new facility will not only help India meet its growing domestic demand but will also secure the supply chain against geopolitical disruptions.
Diplomatic and Economic Backlash
The current tensions date back to October last year, when Union Commerce Minister Piyush Goyal took up the issue directly with German Economy Minister Robert Habeck. In a heartfelt speech that later went viral, Goyal said: “Your German company provides us with tunnel boring machines that they manufacture in China… but China does not allow them to be sold to India. We must stop buying German equipment now.”
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The remarks were a rare public acknowledgment of Beijing’s political interference in trade involving third countries. Herrenknecht, which produces TBMs in China for global customers, was prevented by Chinese customs from exporting equipment for Indian infrastructure projects.
China Assurance
Interestingly, as tensions escalate, Chinese Foreign Minister Wang Yi, during his recent visit to New Delhi, reportedly assured External Affairs Minister S. Jaishankar that Beijing would address India’s concerns over fertilisers, rare earth elements and tunneling machines. But officials in New Delhi remain cautious. “We cannot allow strategic infrastructure to be held hostage by another country’s political agenda,” said a senior government source familiar with the developments.
Projects Delayed, Patience Tested
The delay has affected many critical infrastructure works in India, including metro expansions and river link tunnels, which all depend on timely supply of TBMs. The situation escalated to the point that New Delhi lodged formal protests with both Berlin and Beijing, urging them to resolve the bottleneck.
Herrenknecht’s management also confirmed the unusual customs cut. German Ambassador to India Dr. Philipp Ackermann later acknowledged the issue, saying: “It is clear that for political reasons China will not let them out.”
He added that the experience encouraged Herrenknecht to diversify its operations, calling the Chennai expansion “a good example of not putting all your eggs in one basket.”
India’s ‘German Checkmate’
This episode served as a wake-up call for India. With China weaponizing its trade dependencies, especially since the 2020 Galwan Valley clashes, New Delhi has sought to localize critical production and deepen industrial ties with trusted partners such as Germany, Japan and France. Herrenknecht’s decision to manufacture TBMs directly in India rather than relying on exports from China is seen as a strategic win, both economically and diplomatically. The move will enable faster execution of projects, local employment creation and technology transfer, and reduce the impact of Chinese supply chains on India’s infrastructure drive.
Chennai as India’s Tunnel Technology Hub
Herrenknecht was the first global TBM manufacturer to establish an assembly plant in India, also in Chennai, in 2007. With the new facility, the German giant aims to produce and assemble all of its machines domestically, strengthen India’s engineering base and reduce project costs. The timing couldn’t be more critical; India has dozens of major tunneling projects in the pipeline, including plans for metro systems, high-speed rail corridors and connecting rivers. Domestic demand for TBMs is expected to increase rapidly over the next five years, making domestic production both an economic and strategic necessity.
A Broader Message
Herrenknecht’s expansion in Chennai sends a clear signal: India’s infrastructure ambitions will not be stalled by geopolitics. As New Delhi deepens industrial cooperation with Germany, it is also laying the foundations for a self-reliant, resilient manufacturing ecosystem that stands firm against external pressures. What started as a trade dispute has turned into a strategic rebalancing; With the support of its partners, India is quietly preparing a German checkmate against China’s obstruction tactics.
