Hanwha Ocean Co. secured its first US Navy maintenance contract of 2025, continuing the South Korean shipbuilder’s expansion into American defense work that began last year.
The company won a maintenance, repair and overhaul contract for the USNS Charles Drew, a replenishment vessel serving the Navy’s 7th Fleet, according to a July 8 announcement. The deal is valued at tens of billions of won (roughly $7-30 million), marking the shipbuilder’s third such contract following agreements in August and November 2024.
The Charles Drew, a 41,000-ton supply ship measuring 210 meters in length, delivers ammunition and provisions to combat vessels at sea. The vessel is the same class as the USNS Wally Schirra, which Hanwha Ocean previously serviced in a six-month overhaul that concluded earlier this year.
Hanwha Ocean became the first South Korean shipyard authorized to bid for US Navy maintenance work after earning a Master Ship Repair Agreement certification in July 2024. The qualification allows the company to compete for contracts over five years in a market estimated at approximately $8 billion annually.
The company is targeting five to six MRO contracts for 2025, leveraging its Geoje shipyard facility to service American vessels operating in the Asia-Pacific region. Hanwha Ocean currently has a second project underway with the overhaul of refueling vessel USNS Yukon, which arrived at the yard in November.
The contracts support the Defense Department’s regional sustainment strategy while addressing capacity constraints in US shipyards that have faced persistent delays and cost overruns.
