HD Hyundai Forms U.S. Shipbuilding Joint Venture

HD Hyundai signed an agreement with Kiewit, the largest construction, engineering and infrastructure company in the United States, on Oct. 22 local time for the "establishment of a shipbuilding joint venture." Choi Han-nae, head of the Planning Division at HD Korea Shipbuilding & Offshore Engineering (fifth from left), and Chad Johnson, CEO of Kiewit Maritime (sixth from left). (Provided by HD Hyundai)  HD Hyundai is accelerating its push into the North American market by joining hands with Kiewit, the largest construction and engineering company in the United States, to directly build a shipyard in the country. HD Hyundai said it signed an agreement with Kiewit in Houston on Oct. 22 local time to establish the shipbuilding joint venture "HD KIEWIT SHIPBUILDING." The joint venture, HD Kiewit Shipbuilding, plans to newly build an advanced smart shipyard on an industrial site in the United States. It aims to begin construction in 2027 and start full-scale operations in 2029. In particular, the project is differentiated by its decision to build a new shipyard from the ground up, rather than acquiring and renovating an aging existing yard. The new shipyard will become the first in the United States to adopt HD Hyundai’s "Future of Shipyard" model and digital production technologies now being pursued by the company. Advanced technologies, including digital twin, automated production systems and robotic welding, will be applied across the entire process from design to production to establish a data-based operating system. Through this, the company plans to improve productivity and quality while also addressing the chronic shortage of skilled workers in the U.S. shipbuilding industry. HD Kiewit Shipbuilding plans to actively seek business opportunities in the areas of U.S. Navy logistics support vessels and commercial ships. At the same time, it is also considering a business that would manufacture and supply ship blocks and modules to other shipyards in the United States. In the long term, the two companies plan to expand the scope of cooperation to the port infrastructure sector and broaden their influence across the overall U.S. shipbuilding industrial ecosystem. Once the shipyard enters full-scale operation, it is expected to create about 3,000 jobs locally. HD Hyundai said it will focus on training local workers through its own technical education program and on strengthening the shipbuilding supply chain in the United States. Choi Han-nae, head of the Planning Division at HD Korea Shipbuilding & Offshore Engineering, said, "The launch of HD Kiewit Shipbuilding is a milestone that demonstrates HD Hyundai’s commitment as a strategic partner in the U.S. shipbuilding industry," adding that the company would contribute to expanding Korea-U.S. shipbuilding cooperation. Chad Johnson, CEO of Kiewit Maritime, also expressed expectations that the companies would build a modern shipyard by combining Kiewit’s infrastructure capabilities with HD Hyundai’s expertise. Starting with the establishment of the joint venture, the two companies plan to move into concrete implementation steps for rebuilding the U.S. shipbuilding industry, while continuing site selection and design work for the new shipyard.