Seoul: HD Hyundai Heavy Industries Co., South Korea's leading shipbuilder, announced that it has secured a maintenance, repair, and overhaul (MRO) project for a U.S. Navy cargo ship. The company will conduct the MRO work on the USNS Alan Shepard (T-AKE-3), a 41,000-ton Lewis and Clark-class dry cargo vessel, at HD Hyundai Mipo Dockyard Co.'s shipyard in Ulsan, located approximately 300 kilometers southeast of Seoul. The project is scheduled for completion and delivery in November.
According to Yonhap News Agency, the contract represents the first MRO deal following the Korean government's proposed US$150 billion South Korea-U.S. shipbuilding cooperation initiative, known as "Make American Shipbuilding Great Again" (MASGA). This initiative aims to revitalize the U.S. shipbuilding industry as part of a broader $350 billion investment package pledged by Seoul. The initiative follows Washington's decision to reduce proposed reciprocal tariffs on South Korean imports from 25 percent to 15 percent. The contract value was not disclosed by the company.
HD Hyundai has undertaken several initiatives this year to enhance bilateral shipbuilding cooperation with the United States. In April, it signed a strategic partnership agreement with Huntington Ingalls Industries (HII), the largest defense shipbuilder in the U.S., focusing on technological collaboration and joint naval ship construction. Further strengthening ties, HD Hyundai entered into a strategic partnership with Edison Chouest Offshore (ECO), a U.S.-based commercial shipbuilder, in June to boost cooperation in the commercial shipbuilding sector.
HD Hyundai Heavy and HD Hyundai Mipo Dockyard are two of the three major affiliates under HD Korea Shipbuilding and Offshore Engineering Co. (HD KSOE), alongside HD Hyundai Samho Heavy Industries. HD KSOE functions as a sub-holding company of HD Hyundai, formerly known as Hyundai Heavy Industries Holdings.