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U.S. Navy seeks information from South Korean shipbuilders on destroyer and replenishment ship capacity
Major South Korean shipbuilders have received formal requests for information from the U.S. Navy on their ability to design and build destroyers and medium-sized fleet replenishment ships. The requests follow a bilateral agreement allocating $150 billion for shipbuilding cooperation and come days after South Korea lost a Canadian submarine contract to a German firm.
Jul 9, 1:37 AM·1m read1 source
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South Korea's three largest shipbuilders have received requests for information from the U.S. Navy on their capacity to design and build destroyers and medium-sized fleet replenishment ships. , according to industry sources. They mark the first formal U.S. Navy outreach since last year's bilateral agreement allocating $150 billion for shipbuilding cooperation under the MASGA proposal.
Background on recent developments The requests come days after South Korean shipbuilders lost a Canadian contract to build up to 12 submarines valued at up to 60 trillion won. Germany’s TKMS won the contract despite South Korean offers of competitive pricing and shorter delivery times.
Industry sources said the loss prompted the companies to redirect attention toward the U.S. market, where officials have been exploring ways to expand naval production capacity through allied partnerships.
Capabilities and regulatory considerations HD Hyundai Heavy Industries designed the 3,600-ton Ulsan-class Batch-III frigate and holds the U.S. Navy’s Master Ship Repair Agreement certification. Hanwha Ocean operates a shipyard in Philadelphia after acquiring the facility.
Samsung Heavy Industries has focused on large liquefied natural gas carriers. U.S. domestic shipbuilding requirements, including the Byrnes-Tollefson Amendment, limit direct foreign construction of major Navy vessels. Industry sources said Korean firms are more likely to pursue technology transfers, joint production, or work at U.S.-based facilities.
The scope of any future cooperation will depend on how the proposed MASGA initiative is implemented and whether Congress supports greater allied participation.
