South Korean shipbuilder Hanwha Group has unveiled a $5 billion infrastructure plan for Hanwha Philly Shipyard as part of South Korea’s commitment to supporting the growth of the U.S. shipbuilding industry through a $150 billion investment fund.
The announcement was made during the naming ceremony of a new training vessel built for the U.S. Maritime Administration (MARAD). The ceremony, which took place at Hanwha Philly Shipyard on August 26, 2025, was attended by officials from the U.S. and South Korea.
It followed summit talks between President Lee and U.S. President Donald Trump. Earlier, the Lee Jae Myung administration had pledged $150 billion in American shipbuilding investments during a trade deal between Korea and the U.S.
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.
“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,” Kim said.
“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 in modernizing infrastructure and creating 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.
The South Korean shipbuilder aims to produce LNG carriers, naval modules and blocks, and, in the long term, naval vessels out of its U.S. shipyard.
Hanwa Shipping orders 10 MR tankers from Hanwa Philly Shipyard
In addition to the infrastructure plan, the U.S. subsidiary of Hanwha’s shipping arm, Hanwha Shipping, revealed it has ordered ten medium range (MR) oil and chemical tankers from its affiliate, Hanwha Philly Shipyard, with the first tanker expected to be delivered by early 2029.
Not only is this the largest U.S. commercial vessel order in more than 20 years, but it is also the highest-value commercial order seen at U.S. shipyards, according to Hanwha.
The vessels will be designed to support the U.S. Jones Act fleet renewal and other strategic initiatives. They will be fitted to transport crude oil, refined petroleum, and chemical products. This will significantly expand the U.S. Jones Act fleet of U.S.-built, U.S.-owned, and U.S.-crewed vessels operating between U.S. ports.
“We are able to order these U.S.-made MR tankers because of Hanwha’s investment in building a world-class shipyard in Philadelphia,” Ryan Lynch, President & CEO of Houston-based Hanwha Shipping, commented.
Hanwha Shipping also announced it has exercised its option to order a second liquefied natural gas (LNG) carrier from Hanwha Philly Shipyard. This milestone doubles the U.S. orderbook for LNG carriers to the highest level since the 1970s. It follows Hanwha Shipping’s announcement last month that it signed a contract for the first U.S.-ordered, export-market-viable LNG carrier in almost 50 years.
The two LNG carriers will be used to export U.S.-sourced LNG to U.S. trading partners and allies. They will be built via a joint construction model between Hanwha Ocean and Hanwha Philly Shipyard as part of the U.S.-Korea partnership.
