Korea and U.S. Launch Shipbuilding Partnership Center for $150 Billion Initiative

The Republic of Korea and the United States have officially launched the Korea–U.S. Shipbuilding Partnership Center (KUSPC) in Washington, D.C., establishing a new hub intended to accelerate joint efforts to rebuild the U.S. shipbuilding industry through investment, technology transfer, workforce development, and research collaboration.

The center was inaugurated on last week by South Korean Minister of Trade, Industry and Energy JK Kim and U.S. Commerce Secretary Howard Lutnick, just over two months after the two governments signed a memorandum of understanding establishing the Korea–U.S. Shipbuilding Partnership Initiative (KUSPI).

Around 130 government and industry representatives attended the ceremony, including Acting U.S. Navy Secretary Hung Cao, U.S. Maritime Administration officials, lawmakers from both countries, and executives from South Korea's leading shipbuilders, including HD Hyundai, Hanwha Ocean, Samsung Heavy Industries, and HJ Shipbuilding & Construction.

Minister Kim described KUSPC as "a unique platform for shipbuilding cooperation and a symbol of Korea's firm commitment to helping rebuild the U.S. shipbuilding industry."

"With government support, KUSPC will bring Korea's world-class shipbuilding technologies to shipyards on both U.S. coasts and swiftly advance the $150 billion shipbuilding investment," Kim said, while urging the U.S. government to support the initiative through a steady pipeline of shipbuilding orders, incentives, and regulatory reforms.

KUSPC Director Lee Jong-geon said the center will serve as a bridge between governments, shipyards, universities, research institutes, and investors while helping improve productivity at U.S. shipyards, train American workers, and support joint research and development.

"We will turn the $150 billion investment into tangible results and help restore the U.S. shipbuilding industry's competitiveness," Lee said.

The launch of KUSPC marks the next phase of the Korea–U.S. Maritime and Shipbuilding Growth Alliance (MASGA), the $150 billion partnership announced in July 2025 as part of a broader U.S.-South Korea trade agreement.

South Korean officials credited the initiative—whose acronym echoes President Donald Trump's "Make America Shipbuilding Great Again" slogan—as the centerpiece of negotiations that helped secure reduced U.S. tariffs on Korean imports. The package includes investments in U.S. shipyards, workforce development, supply chain expansion, technology transfer, and support for U.S. Navy ship maintenance and repair.

The partnership comes as Washington seeks to revive domestic commercial and naval shipbuilding capacity to compete more effectively with China, while South Korea's globally competitive shipbuilders continue expanding their U.S. presence.

The opening ceremony also featured the signing of 15 memoranda of understanding between Korean and U.S. companies and institutions spanning four areas: industrial cooperation, supply chains, workforce development, and joint research.

Among the most significant agreements, HD Hyundai Heavy Industries, Hanwha Ocean, Samsung Heavy Industries, the Korea Offshore & Shipbuilding Association (KOSHIPA), the Korea Research Institute of Ships & Ocean Engineering (KRISO), and KUSPC formed "Team Korea," a coordinated effort to help modernize U.S. shipyards, develop domestic supplier networks, and support Korean companies entering the American market.

Several partnerships focus directly on expanding U.S. industrial capacity. HD Korea Shipbuilding & Offshore Engineering will collaborate with Siemens Industry Software on next-generation digital ship design and production technologies, while Hanwha Ocean signed an agreement with the Greater Philadelphia Chamber of Commerce to help local manufacturers join the shipbuilding supply chain.

HD Korea Shipbuilding & Offshore Engineering will also assess productivity at Fraser Industries and introduce automation technologies, while HD Hyundai Samho agreed to supply four advanced container cranes to Washington United Terminals at the Port of Tacoma.

On the workforce side, Hanwha Philly Shipyard partnered with Delaware County Community College to expand shipbuilding training programs and create employment pathways. Samsung Heavy Industries and Vigor Marine Group will jointly establish an advanced maritime training center featuring virtual and augmented reality welding systems.

Meanwhile, KRISO, KOSHIPA, and KUSPC will work with the American Bureau of Shipping to develop internationally recognized technical qualification, safety, and certification programs for the maritime workforce.

The two governments also announced a five-year collaborative research program worth approximately $80 million, funded by South Korea's Ministry of Trade, Industry and Energy.

The initiative will support eight joint research projects involving Korean and U.S. companies and research institutions focused on AI-enabled ship design, robotics, autonomous welding, automated painting of large ship blocks, and autonomous navigation technologies.

Several industry partnerships were also announced. Samsung Heavy Industries and Saronic will apply advanced automation technologies at U.S. shipyards while jointly developing unmanned surface vessels. Samsung Heavy Industries will also work with Conrad Shipyard and the American Bureau of Shipping on LNG bunkering vessel designs and certification.

Hanwha Ocean and Leidos Gibbs & Cox will jointly design the proposed Global Fast Sealift vessel, while HD Korea Shipbuilding & Offshore Engineering and ABSG Consulting will collaborate on an operating platform for next-generation autonomous ships.

The Korean government has allocated approximately KRW 6.6 billion ($4.8 million) to support KUSPC's operations in 2026. Based in Washington, the center will oversee productivity consulting for U.S. shipyards, workforce training, research collaboration, technology exchange, and investment projects between Korean and American companies.

Officials said KUSPC will also work closely with the U.S. government, Congress, and industry to improve conditions for Korean investment in the U.S. shipbuilding sector while coordinating future projects under the broader MASGA initiative.

The launch follows a series of recent Korea–U.S. shipbuilding partnerships announced over the past year, including collaborations involving Samsung Heavy Industries, Hanwha Ocean, HD Hyundai, Saronic, and U.S. shipyards focused on autonomous vessels, naval construction, and modernization of America's aging shipbuilding industrial base.