Hanwha Emerges as Key Partner in U.S. Shipbuilding Revival, Challenging China’s Dominance

With U.S. shipbuilding capacity estimated at just one-230th of China’s, South Korea’s Hanwha Ocean is emerging as a key partner in efforts to revive the American shipbuilding industry. The Wall Street Journal (WSJ) has highlighted the role of Korean technology and capital in realizing the Trump administration’s vision of a new “maritime golden age.”

In a report published on Oct. 25 (local time), the WSJ examined Hanwha Group’s acquisition of Philly Shipyard and its expansion into U.S. Navy-related projects. The United States currently accounts for less than 1% of global shipbuilding output, making it difficult to rebuild the industry through domestic capabilities alone. Hanwha Ocean’s Geoje shipyard, with its advanced automation and robotics technologies, has consequently emerged as a potential model for cooperation.

Following its acquisition of Philadelphia-based Philly Shipyard in December 2024, Hanwha invested $350 million in facility improvements and plans to commit several billion dollars more. The South Korean government has also pledged $150 billion in investment in the U.S. shipbuilding sector under a bilateral trade agreement reached last year, adding momentum to the effort.

Hanwha’s expansion into U.S. defense-related shipbuilding is already yielding tangible results. In March, the company secured a subcontract for the preliminary design of the U.S. Navy’s next-generation logistics support vessel. Earlier this month, it was also selected to build specialized auxiliary vessels associated with the Golden Dome missile defense initiative. Hanwha aims to upgrade Philly Shipyard’s capabilities from auxiliary vessel construction to combat shipbuilding by 2028.

This story was originally published by Hellenic Shipping News. Read the full story at Hellenic Shipping News →