Hanwha Group became the first South Korean company to acquire a U.S. shipyard, completing its $100 million purchase of Philly Shipyard from Norway’s Aker. The deal represents a significant shift in the U.S. shipbuilding industry, which has struggled with capacity constraints.
The acquisition by Hanwha Ocean and Hanwha Systems received swift approval from U.S. regulators, including the Committee on Foreign Investment in the United States, indicating strong government support for foreign investment in domestic shipbuilding capabilities.
Philly Shipyard, operating since 1997 at the former Philadelphia Naval Shipyard site, has built about half of the large merchant vessels that comply with the Jones Act, which requires ships operating between U.S. ports to be American-made.
The Korean conglomerate plans to upgrade the facility with eco-friendly shipbuilding technology and autonomous navigation systems. The modernization effort comes as the U.S. Navy faces a shortage of domestic shipbuilding capacity.
The deal allows Hanwha to expand its presence in the North American defense market while helping address U.S. naval vessel production needs. The company indicated it would focus on high-value ship segments and maintenance services for military vessels.
Hanwha executives said the acquisition would strengthen their position in the global marine defense industry through sustainable marine solutions and technological advancement.
