Hanwha Group from South Korea announced an investment of 5 billion dollars to expand the Hanwha Philly Shipyard in Pennsylvania, in a move to support the revival of the American shipbuilding industry.
This investment is part of South Korea’s commitment to invest 150 billion dollars into the American shipbuilding industry, aligning with the “Making American Shipbuilding Great Again” (MASGA) initiative in the US-Korea trade agreement. President Trump praised the move, stating that “Hanwha’s investment is a significant victory for the revival of American manufacturing, creating a substantial amount of job opportunities and revitalizing our shipbuilding capabilities.”
At the end of 2024, Hanwha Group acquired the Philadelphia shipyard for 100 million dollars, with plans to add two dry docks and three piers, increasing the annual production from less than two ships to a maximum of 20 ships, including liquefied natural gas (LNG) carriers, naval modules, and potentially future naval vessels.
President Trump, during a meeting with South Korean President Lee Jae-myung at the White House on August 26, stated, “We are re-entering the shipbuilding industry, and Hanwha’s investment proves that my policies are attracting global capital, benefiting American workers.” He emphasized that this aligns with policies to revitalize the domestic shipbuilding industry through tariffs and incentive measures.
Hanwha Shipping has ordered 10 medium-sized oil and gas chemical carriers, with the first batch expected to be delivered in early 2029, and plans to build a second LNG carrier in support of the US Jones Act fleet renewal. This marks the largest commercial ship order in the US in nearly 20 years. Trump posted on social media, saying, “This is not just about ships, but about restoring America’s industrial dream and countering China’s maritime dominance.”
The US shipbuilding industry holds only 0.04% of the global market share, far behind China and South Korea, which hold 83%. Hanwha Group’s modernization efforts include the introduction of automation technology, aiming to create 3,000 job positions. Lee Jae-myung stated that this collaboration will drive a win-win situation for the American and South Korean shipbuilding industries. Pennsylvania Governor Josh Shapiro praised its economic benefits.
President Trump reiterated that his government will continue to support domestic shipbuilding through policies, stating, “America will once again become a maritime power.”