Hanwha Group has announced a $5 billion infrastructure plan for Hanwha Philly Shipyard as part of South Korea’s commitment to supporting growth of the US shipbuilding industry through a $150 billion investment fund.
The announcement was made in time for the christening of a new training vessel, the US 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 US President Donald Trump. Earlier, the Lee administration had pledged $150 billion in American shipbuilding investments during a trade deal between Korea and the US Hanwha Philly Shipyard is expected to play a key role in future collaboration between the two countries.
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.
Kim said: “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.
“This is just the beginning. Hanwha is committed to being a partner in building the next chapter of American shipbuilding.”
Hanwha acquired Philly Shipyard last year through a $100 million investment, building a landmark hub for shipbuilding in America.
It is investing to modernize infrastructure and create a digitally-enabled, high-efficiency shipyard, with world-class automation and smart yard technology.
The $5 billion program will be dedicated to the installation of two additional docks, and three quays to increase capacity. Hanwha 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 a global leader in LNG vessels, Hanwha aims to produce LNG carriers, naval modules and blocks, and, in the long-term, naval vessels out of its US shipyard.
