Hanwha to build a ship for the US Navy for $269 million — Korea Herald

Hanwha Defense USA, the US subsidiary of South Korea’s Hanwha Aerospace, has received a $269 million contract to build a medium landing ship for the US Navy and the US Marine Corps. The vessel will be built at the Philly Shipyard in Pennsylvania.

As Korea Herald reports, the company was selected by the US maritime services company Tote Services. The agreement provides for the construction of one LSM-type medium landing ship and an option to build three more vessels.

First order for the US Navy

This is Hanwha Group’s first order to build a new ship for the US Navy after acquiring Philly Shipyard in 2024. According to Tote Services, construction is planned to begin in the fourth quarter of 2027.

The contract was arranged through Tote Services, which the US Navy selected in July as the program manager for the $2.2 billion vessel construction program. Under this model, the Navy assigns a specialized company to select shipyards and oversee construction instead of signing contracts directly with individual shipbuilders.

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Program of up to eight vessels

Tote Services said it selected Hanwha Defense USA following a competitive selection process launched in July. The company cited competitive pricing and Hanwha’s agreement to the contract terms among the reasons.

Tote Services will manage the construction of up to eight landing ships under the initial contract with the US Navy. Delivery of the first vessel is expected in 2030. Hanwha Defense USA President and CEO Michael Coulter said that after acquiring the shipyard, the group invested in personnel and technology to build ships for the US Navy and other federal customers.

Hanwha Defense USA also plans to acquire the 60% stake in Philly Shipyard held by Hanwha Systems to strengthen its role in the group’s US shipbuilding business.