US Navy secretary eyes ties with Korea's top shipbuilders

US Navy Secretary John Phelan (left) and Han Duck-soo, who was then South Korea’s acting president and prime minister, shake hands after a meeting during Phelan‘s visit to Korea on Wednesday in Seoul. (Yonhap)

US Navy Secretary John Phelan and top executives at Korea’s major shipbuilding companies explored opportunities for bilateral collaboration during the secretary's tour of key Korean shipyards.

On Wednesday afternoon, Phelan traveled from Seoul to the HD Hyundai Heavy Industries shipyard in Ulsan, located 300 kilometers southeast. He then continued another 100 kilometers to Hanwha Ocean in Geoje, South Gyeongsang Province.

“The relationship between the US Navy and the Republic of Korea’s maritime industrial base goes far beyond ship maintenance,” said Phelan.

“It is a cornerstone of our shared commitment to a free and open Indo-Pacific and strengthens the overall bond between our nations.”

As the first US Navy secretary under the second Donald Trump administration, Phelan had emphasized during his confirmation hearings the importance of partnering with the shipbuilding industries of key US allies.

US Navy Secretary John Phelan (front row, second from left) and HD Hyundai Executive Vice Chair Chung Ki-sun (third from right) tour military vessels under construction at HD Hyundai Heavy Industries’ special ship docks in Ulsan on Wednesday. (HD Hyundai)

At HD HHI's shipyard, Chung Ki-sun, executive vice chair of the company’s parent HD Hyundai, emphasized the company’s readiness to cooperate with the US Navy during Secretary Phelan's tour of its docks.

“Korea and the US are ironclad friends and the utmost allies,” said Chung. “With HD Hyundai’s cutting-edge technology and shipbuilding power, we will help reinvigorate the US shipbuilding industry.”

During the visit, the secretary inspected Korea’s first domestically developed Aegis destroyer, as well as another Aegis destroyer under construction.

US Navy Secretary John Phelan (third from right) and Hanwha Group Vice Chair Kim Dong-kwan (second from right) engage in discussions during Phelan‘s visit to Hanwha Ocean’s ship block manufacturing plant in Geoje, South Gyeongsang Province, on Wednesday. (Hanwha Ocean)

At the secretary's next destination, Kim Dong-kwan, vice chair of Hanwha Group, guided him around the shipyard.

“Hanwha Ocean is equipped with a shipbuilding system that allows us to respond swiftly to US strategic demand, under any circumstances,” said Kim. “We plan to acquire multiple shipyards in the US to maximize synergy and strengthen our presence in the North American market.”

There, the secretary was shown the Yukon, a US Navy 7th Fleet replenishment oiler currently undergoing repairs.

The two shipbuilders have sought to align with the Trump administration’s initiative to reinvigorate the US shipbuilding industry, particularly in the naval sector.

Hanwha Ocean acquired the Philly Shipyard in Philadelphia with plans to use it as a base for potential US Navy maintenance, overhaul and repair operations. Additionally, Hanwha is working to increase its influence over Austal, an Australian shipyard that builds and maintains US Navy warships.

HD Hyundai partnered with the US' largest defense shipbuilding company, Huntington Ingalls Industries, to collaborate in shipbuilding capacity improvement and developing cutting-edge shipbuilding technology in April.