In a significant development concerning the modernization of the US Navy, President Donald Trump has suggested an increased role for South Korean shipbuilders in the expansion efforts. This move raises the potential for the US to procure naval vessels constructed outside its borders. Speaking at the Pennsylvania Defense and Innovation Summit, Trump emphasized the urgency of updating the nation’s aging fleet and mentioned that the US is exploring enhanced collaboration with shipbuilding companies from South Korea and other nations.
As part of these modernization plans, Trump announced the construction of two National Security Multi-Mission Vessels at the Hanwha Philly Shipyard in Philadelphia, a project estimated to be worth around $1.5 billion. This announcement comes at a time of heightened defense collaboration between the US and South Korea. South Korean President Lee Jae Myung disclosed that Trump had inquired if South Korea could swiftly build 10 naval ships for the US, a topic further deliberated during recent international meetings.
The US Department of Defense and the Navy have shown interest by gathering information from leading South Korean shipbuilders, namely HD Hyundai Heavy Industries and Hanwha Ocean, to evaluate their expertise in crafting combat-ready ships. Hanwha, in particular, stands to gain from this potential partnership, having acquired shipyard facilities in Philadelphia in 2024 and pursued the necessary licenses to construct military vessels in the United States. Meanwhile, HD Hyundai and Samsung Heavy Industries have broadened their alliances with American firms to penetrate the US naval shipbuilding sector.
Despite these promising developments, significant legal challenges persist, given that current US regulations limit the production of Navy ships to domestic shipyards. This restriction means that any naval vessel construction occurring abroad would necessitate legislative changes or special exemptions to proceed.