Huntington Ingalls Industries (HII) and HD Hyundai Heavy Industries (HHI) have formalized a strategic partnership aimed at boosting shipbuilding capabilities in the United States, particularly in both commercial and military sectors. This collaboration was announced during the APEC 2025 forum held in Gyeongju, South Korea, where the two companies underscored their commitment to a distributed production model and potential shared investments.
The agreement primarily focuses on jointly pursuing programs related to auxiliary ships for the U.S. Navy. This initiative combines HII’s extensive experience in naval construction with HHI’s proficiency in large-scale commercial vessels and support operations. The partnership also encompasses engineering, research, and development efforts that leverage cutting-edge technologies in automation, robotics, and artificial intelligence, aimed at enhancing shipyard processes.
Additionally, the two companies plan to collaborate on lifecycle support for U.S. Navy vessels in the Indo-Pacific region. This is intended to bolster sustainment and repair capabilities, ensuring that naval forces remain operational and effective in increasingly strategic waters.
HHI President Joo Won-ho expressed his optimism about the partnership, stating, “This partnership will generate powerful synergies by combining Korea’s cutting-edge shipbuilding technologies with the US defense sector’s strong market competitiveness.”
This recent collaboration builds upon previous initiatives between the two firms. Just earlier this month, HII and HHI announced plans to jointly pursue the U.S. Navy’s Next-Generation Logistics Ship (NGLS) concept design contract. This program aims to develop small logistics vessels capable of refueling, rearming, and resupplying both U.S. Navy and Marine Corps forces, whether afloat or ashore. This is particularly critical for supporting distributed, expeditionary operational capabilities.
In April, the partnership was initiated with a memorandum of understanding that focused on sharing best practices in shipbuilding to reduce costs and expedite construction timelines. During the same period, HHI proposed to construct Aegis destroyers for the U.S. Navy, further illustrating the potential depth of collaboration between the two industry giants.
As both companies work to consolidate their strengths, the shipbuilding landscape appears poised for significant transformation, with a focus on integrating advanced technologies and enhancing the operational capabilities of the U.S. maritime forces.
