Hanwha Ocean Co. is planning to invest an additional US$70 million “to expand” its shipyard in Philadelphia, according to a statement posted on the White House’s website on Monday.
Hanwha Group acquired Philly Shipyard for 140 billion won (US$100 million) last year in order to enter the U.S. shipbuilding market, with a stated long-term objective of securing contracts with the U.S. Navy. Two group affiliates, Hanwha Ocean and Hanwha Systems, hold 40 percent and 60 percent stakes in the shipyard, respectively.
Hanwha Ocean aims to raise the yard’s annual shipbuilding output from the current 1 to 1.5 vessels to between 8 and 10 vessels by 2035. The company also targets an increase in annual sales from about US$400 million to US$4 billion during the same period.
Hanwha Ocean has not confirmed the reported additional investment.
The Philadelphia shipyard is the first U.S. shipyard acquired by a South Korean shipbuilder.
Hanwha Ocean Co., Ltd. is a South Korean publicly traded shipbuilding company headquartered in Geoje, South Gyeongsang Province. It designs and constructs liquefied natural gas carriers, container ships, offshore platforms, and naval vessels. The company was formerly known as Daewoo Shipbuilding & Marine Engineering Co., Ltd. (DSME) until its rebranding in 2023, when it was integrated into Hanwha Group.
Philly Shipyard, Inc. is a U.S. shipbuilding company incorporated in Pennsylvania. It specializes in constructing Jones Act–compliant commercial vessels, including product tankers and container ships, for the domestic maritime market. The yard has historically delivered ships to leading U.S. operators under long-term contracts.