HD Hyundai Heavy Industries (HD HHI) is ramping up its push into the United States by forming a strategic technology partnership with Huntington Ingalls Industries, the nation’s largest defense-focused shipbuilder.
Huntington Ingalls operates Ingalls Shipbuilding in Mississippi, home to the largest surface shipyard in the southern U.S. The company posted annual revenue of approximately 17 trillion won (about $11.5 billion) last year. The Ingalls facility builds two-thirds of the U.S. Navy’s latest Aegis-class destroyers and produces the entire fleet of large amphibious assault ships and patrol vessels.
On Apr. 8, HD HHI said it had signed a memorandum of understanding (MOU) with Huntington Ingalls on Apr. 7 to collaborate on advanced shipbuilding technologies and improve productivity. The agreement calls for the two companies to leverage their respective expertise in naval ship construction to boost production efficiency, while also aiming to reduce costs and shorten delivery schedules.
The partnership will also focus on the joint implementation of automation, robotics, and artificial intelligence (AI) technologies to support the development of digital shipyards. In addition, the two sides plan to work together on workforce training and integrate their supply chains for essential components. Discussions on potential joint investments are also underway.
For Huntington Ingalls, the alliance presents an opportunity to gain insights from South Korea’s highly efficient shipbuilding practices. Some observers view the deal as aligning with broader efforts in shipbuilding cooperation, previously referenced by former U.S. President Donald Trump.
“This agreement marks an important first step in strengthening shipbuilding capabilities through collaboration between allies,” said Brian Blanchette, president of Ingalls Shipbuilding. “By combining our strengths, we can significantly enhance the construction of high-quality naval vessels that bolster maritime security in both countries.”
For HD HHI, the partnership is seen as a key stepping stone toward establishing a stronger foothold in the U.S. market. “As the first collaboration between leading South Korean and American shipbuilders with the capability to construct high-spec Aegis destroyers, this agreement is expected to serve as a vital foundation for reinforcing mutual trust between the two countries in the shipbuilding sector,” the company said.
