[Edaily Reporter KIM YOON JI ] Hanwha Ocean(042660)and South Korea are being hailed as the key external partners taking the most proactive steps to revive the U.S. shipbuilding industry.
On the 25th (local time), The Wall Street Journal (WSJ) highlighted Hanwha Ocean—which is playing a pivotal role in rebuilding the U.S. shipbuilding industry—following a recent visit by U.S. Senator Dave McCormick (R-PA).
The U.S. shipbuilding industry lags far behind China. Currently, U.S. shipbuilding output accounts for less than 1% of global production. China, the world’s largest shipbuilding power, possesses shipbuilding capacity more than 230 times greater than that of the United States.
According to Clarksons Research, a British shipbuilding and shipping analysis firm, China is expected to secure more than 75% of global new merchant ship orders this year. South Korea ranks second with approximately 16% in terms of ship tonnage, while no other country has a market share exceeding 3%.

President Trump has declared that he will expand U.S. shipbuilding capabilities to usher in a new “golden age of the seas,” but achieving this will require technology and investment from allied nations.
Since acquiring the Philadelphia Shipyard (Philly Shipyard) in December 2024, Hanwha has invested approximately $350 million in facility modernization and plans to invest additional billions of dollars in the future. The company has also approved a plan to invest an additional $400 million by the end of next year. In August of this year, the company made a non-binding offer of over $1 billion to acquire the Ostal USA shipyard in Mobile, Alabama, and negotiations are currently underway.
The company is also seeing results in projects related to the U.S. Navy. In March of this year, Hanwha secured a subcontract to participate in the preliminary design of the U.S. Navy’s next-generation logistics support ship. Earlier this month, in partnership with a U.S. ship management company, it was selected as the builder of a special auxiliary ship to support the “Golden Dome” missile defense system promoted by President Trump.
Currently, Philly Shipyard is equipped with facilities capable of building naval auxiliary vessels, and the goal is to secure all necessary certifications for combat ship construction by 2028. Alex Wong, Hanwha Group’s Global Chief Strategy Officer (CSO), stated that the goal is to secure additional orders from the U.S. Department of Defense, adding, “The next step is to establish both a commercial shipyard and a naval shipyard side by side.”
There are still significant challenges to overcome before the revitalization of the U.S. shipbuilding industry yields tangible results. Hanwha is facing difficulties at Philly Shipyard due to high production costs, labor recruitment constraints, and limited land availability.
In particular, the uncertainty surrounding the U.S. Department of Defense’s future ship orders is cited as a major obstacle. The U.S. Congress has yet to pass the annual National Defense Authorization Act (NDAA), which would approve the relevant budget. There are also differences in position between the Senate and the House of Representatives regarding the use of U.S. shipyards overseas.
Congressman McCormick emphasized that long-term government procurement commitments are necessary to rebuild the U.S. shipbuilding industry. “The world won’t wait for us to get ready,” he said, adding, “We need to move faster.”