Tom Anderson, president of Hanwha Defense USA’s shipbuilding business and a retired U.S. Navy rear admiral, said the Philadelphia yard has a “significant advantage” in supporting joint production of nuclear-powered submarines in cooperation with South Korea, which he described as America’s “strongest ally.”
“Work is underway to expand the workforce, invest in facilities and transfer technology,” Anderson told Korean reporters, adding that Hanwha is recruiting experts with experience in the design, construction and operation of Virginia-class submarines. These include specialists in modular production and block assembly, key processes in nuclear submarine manufacturing.
Anderson said the timing of any actual submarine production would depend largely on coordination and decisions by the governments of the two countries.
Another Hanwha official said the current understanding is that nuclear-powered submarines for the U.S. Navy would be built at the Philadelphia shipyard, while Hanwha Ocean’s Geoje shipyard in South Korea would handle production for Korea’s own nuclear-powered submarine program. Seoul and Washington agreed in October that their leaders shared an understanding on U.S. approval and support for South Korea’s pursuit of nuclear-powered submarines.
Alex Wong, Hanwha Group’s global chief strategy officer, said there is growing consensus within the U.S. administration and Congress on the need to expand domestic shipbuilding capacity in cooperation with allies such as South Korea.
Wong said President Trump has made strengthening U.S. shipbuilding a policy priority through executive action, and that Hanwha is well positioned to support the effort given its experience building diesel-electric submarines and other naval vessels at its Okpo shipyard.
“This is a government-level decision,” Wong said, adding that the United States has a strong interest in reinforcing its industrial base for nuclear-powered submarines, particularly those based on the Virginia-class design.
Trump earlier this week, when unveiling the “Golden Fleet” initiative, said that new U.S. Navy frigates would be built in cooperation with Hanwha.
Last week, the U.S. Navy also announced plans for a new class of smaller combatants, known as the FF(X) frigates, which are intended to complement larger multi-mission warships and enhance operational flexibility.
Navy Secretary John Phelan said the new frigate program would form part of the Golden Fleet initiative. Trump has also said the U.S. Navy plans to build two new “Trump-class” battleships, with the possibility of expanding the fleet to as many as 25 vessels.
The president described the planned ships as among the most powerful surface combatants ever built, equipped with advanced weapons systems including hypersonic missiles, lasers, cruise missiles and nuclear capabilities.
Hanwha said in August it would invest an additional $5 billion in the Philadelphia shipyard under a bilateral cooperation project dubbed MASGA — short for “Make American Shipbuilding Great Again.” The group had previously invested $100 million to acquire the shipyard at the former Philadelphia Navy Yard in December last year.
The investment is part of a broader $150 billion shipbuilding package that South Korea has pledged to the United States as part of bilateral trade arrangements. Discussions are ongoing over how the funds will be structured and deployed, Wong said, adding that both governments are seeking to move quickly while ensuring proper implementation.
Shares of Hanwha Ocean surged 10 percent on Tuesday after Trump said the company would help build new U.S. Navy frigates. South Korean defense stocks have rallied sharply this year, with Hanwha Aerospace and Hyundai Rotem gaining more than 170 percent and 270 percent, respectively. Hanwha Ocean has risen more than 220 percent year to date.
Hanwha Ocean is one of South Korea’s major shipbuilders, producing commercial vessels such as LNG carriers as well as naval platforms including submarines and surface combatants.
* This article, published by Economic Daily, was translated by AI and edited by AJP.
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