Philadelphia Steel, Korean Ambition: Hanwha Wins Its First New US Navy Ship

When Hanwha bought Philly Shipyard in Pennsylvania in 2024, the obvious question was whether a South Korean defence group could break into the tightly guarded business of building American warships. On Friday it got its first answer. Hanwha Defense USA, the US arm of Hanwha Aerospace, said it had won a $269 million contract to build a medium landing ship (LSM) for the US Navy and Marine Corps, with options for three more.

The order came through Tote Services, which the Navy chose in July to run a $2.2 billion vessel construction manager programme. Instead of contracting each shipyard directly, the Navy hands yard selection and oversight to Tote, which manages up to eight landing ships under its first contract. The Navy plans to buy 35 LSMs in total.

The ships are about 100 metres long and 16 metres wide, with a light displacement of roughly 2,687 tonnes and a range of around 7,400 km, built to move Marines, equipment and supplies to coastlines, especially across the Indo-Pacific. Construction is scheduled to start in the fourth quarter of 2027, with delivery of the first vessel expected in 2030.

For Seoul, the deal is a small number with a large meaning: Korean shipbuilding know-how is now being built into the US Navy’s own fleet, and Hanwha is expected to use it as a stepping stone to further orders.