Hanwha Defense and Philly Shipyard Win First US Navy Contract... Next-Generation Logistics Ship Development

Hanwha Defense USA and Hanwha Ocean's Philly Shipyard have been selected to participate in the US Navy's Next Generation Logistics Ship (NGLS) program. This marks the first contract signed with the US Navy since Hanwha Defense USA was established and Hanwha acquired the Philly Shipyard.

Kim Heechul, CEO of Hanwha Ocean, is touring the Charles Drew, a US Navy replenishment ship under maintenance, repair, and operations (MRO) by Hanwha Ocean, with Darryl C. Williams, US Navy Chief of Naval Operations, who visited the Geoje plant on the 15th. Photo by Hanwha Ocean. Yonhap News

Reuters reported on March 30 (local time) that Hanwha Defense USA and Hanwha’s Philly Shipyard will join the US Navy's Next Generation Logistics Ship program as subcontractors to ship design firm Birdon Marine USA.

The next-generation logistics support ship for the US Navy, in which Hanwha will be involved under the contract, is expected to provide capabilities for refueling, resupplying, and rearming naval vessels.

Under the agreement, Hanwha Defense USA will conduct market research for the next-generation logistics support ship and will be responsible for concept design. The contract also includes support for manufacturability and construction cost assessments, as well as options for functional design planning and special studies.

Tom Anderson, President of the Shipbuilding Division at Hanwha Defense USA, stated, "Hanwha is proud to partner with Birdon Marine in the design and integration of the US Navy's next-generation logistics ship. This contract is an important step that showcases our world-class expertise in building the ships required by the US Navy to support personnel deployed in contested waters."

There is growing interest in whether this contract will serve as a catalyst for 'MASGA' (Make American Shipbuilding Great Again), a US shipbuilding revitalization project driven by Korea-US cooperation in the shipbuilding sector. Hanwha Defense USA is Hanwha's US defense business entity, and the Philly Shipyard is a large shipyard on the US East Coast acquired by Hanwha in December 2024.

US President Donald Trump, in December last year, unveiled his 'Golden Fleet' initiative and referred to the Philadelphia Shipyard, which Hanwha invested in, stating, "It was a great shipyard. It was closed a long time ago, but now it has reopened and is working with the US Navy and private companies."

The Philly Shipyard, considered a symbolic venue for 'MASGA', was also mentioned by President Trump as a potential site for building Korea's nuclear-powered submarines.

Hanwha is also expanding its investment in the Philly Shipyard. Last year, Hanwha announced an additional investment of 5 billion dollars (7.6 trillion won) in the shipyard and stated that it is reviewing expansion of production facilities and storage sites.

This content was produced with the assistance of AI translation services.