Hanwha Group has unveiled a $5bn infrastructure plan for Hanwha Philly Shipyard as part of South Korea’s commitment to supporting growth of the U.S. shipbuilding industry through a $150bn investment fund.
The announcement was made at the christening of a new training vessel, the U.S. Maritime Administration’s (MARAD) third National Security Multi-mission Vessel (NSMV).
The naming ceremony, which took place at Hanwha Philly Shipyard, was attended by South Korean president Lee Jae Myung, the first lady, and other senior officials. Pennsylvania governor Josh Shapiro and senator Todd Young also joined the event.
The ceremony followed summit talks between president Lee and U.S. president Donald Trump. Earlier, the Lee administration had pledged $150bn in American shipbuilding investments during a trade deal between Korea and the U.S.
The $5bn program will be used for the installation of two additional docks, and three quays to increase capacity.
Hanwha, which acquired Philly Shipyard last year through a $100m investment, is also reviewing the build-out of a new block assembly facility. Through this expansion, Hanwha aims to increase Philly Shipyard’s annual production volume from less than two vessels to up to 20.
As it is reported, Hanwha aims to produce LNG carriers, naval modules and blocks, and, in the long-term, naval vessels out of its U.S. shipyard.
In his welcome address, Hanwha vice chairman Dong Kwan Kim expressed gratitude to the leaders of both countries and emphasized the importance of joint partnership in bolstering the shipbuilding industry.
“Today’s christening ceremony is the embodiment of our two nations working side by side to reindustrialize for the sake of shared security and prosperity. We are creating good manufacturing jobs, building the world’s most advanced ships, and fostering a new skilled workforce right here in America,” said Kim. “This is just the beginning. Hanwha is committed to being a partner in building the next chapter of American shipbuilding.”
Image credit: Hanwha Group / Image: South Korean President Lee Jae Myung, Pennsylvania Governor Josh Shapiro, Hanwha Group Vice Chairman Dong Kwan Kim, and key officials pose for photo at Hanwha Philly Shipyard
In addition to the infrastructure plan, the U.S. subsidiary of Hanwha’s shipping arm, Hanwha Shipping, announced that it has ordered 10 medium range (MR) oil and chemical tankers from its affiliate, Hanwha Philly Shipyard, with the first tanker expected to be delivered by early 2029.
The vessels will be designed to support the U.S. Jones Act fleet renewal and other strategic initiatives. The MR vessels will be fitted to transport crude oil, refined petroleum, and chemical products.
Hanwha Shipping also announced it has exercised its option to order a second liquefied natural gas (LNG) carrier from Hanwha Philly Shipyard. This follows Hanwha Shipping’s announcement last month that it signed a contract for the first U.S.-ordered, export-market-viable LNG carrier in almost 50 years.
The two LNG carriers will be used to export U.S.-sourced LNG to U.S. trading partners and allies. They will be built via a joint construction model between Hanwha Ocean and Hanwha Philly Shipyard as part of the U.S.-Korea partnership.
