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HD Hyundai and HII Sign Pact to Collaborate on U.S. Navy Auxiliary Ships, Expand U.S. Shipbuilding Capacity

The pact positions the partners for joint investment in U.S. capacity under a distributed production model.

Overview

  • HD Hyundai Heavy Industries and Huntington Ingalls Industries signed a memorandum of agreement on Oct. 26 in Gyeongju during APEC events, formalizing expanded collaboration.
  • The agreement commits the companies to explore acquiring or establishing U.S. shipbuilding facilities and to pursue flexible, distributed construction to reinforce the industrial base.
  • The partners will team on the U.S. Navy’s Next-Generation Logistics Ship concept design, responding to a recent RFP after agreeing in early October to pursue the design contract together.
  • The scope includes maintenance, repair and overhaul and in-theater lifecycle support for U.S. and allied fleets, with a joint engineering venture under consideration, according to company statements reported by Korean media.
  • Executives cast the collaboration as part of broader Korea–U.S. economic engagement that features large investment pledges for U.S. shipbuilding, while tariff negotiations remain unresolved ahead of President Donald Trump’s visit.