Hanwha Ocean Announces $5B Investment at Christening of Third Training Ship

The third U.S. training ship, State of Maine, was christened on Tuesday, August 26, in a ceremony designed to highlight the emerging partnership between the United States and South Korea for shipbuilding. The event was rescheduled a week so that it could coincide with the visit to the United States by South Korean President Lee Jae Myung, and a day after he met with Donald Trump in Washington, D.C.

The South Korean President toured the Philadelphia shipyard that was acquired by Hanwha Ocean for approximately $100 million at the end of 2024. The company’s acquisition pre-dated the Trump initiative to revitalize U.S. shipbuilding and was seen as an entry into the U.S. naval market. The company looks to expand its work for the U.S. Navy and government ships, such as the training ships, and now to leverage the opportunities under the Trump programs. Hanwha aims to produce LNG carriers, naval modules and blocks, and, in the long term, naval vessels at its U.S. shipyard.

Hanwha announced a $5 billion program dedicated to the installation of additional docks and quays to increase capacity at the shipyard. It is also reviewing the build-out of a new block assembly facility, and through the expansion, Hanwha aims to increase Philly Shipyard’s annual production volume from less than two vessels to up to 20. 

In addition to the infrastructure investment, the U.S. subsidiary of Hanwha’s shipping arm, Hanwha Shipping, announced that it has ordered 10 medium-range (MR) oil and chemical tankers from Hanwha Philly Shipyard, with the first tanker expected to be delivered by early 2029. It previously announced it will buy a Korean-built LNG carrier and complete its outfitting at the U.S. yard to make it the first modern American-flagged LNG carrier built in 50 years. 

 

Elaine Chao doing the honors for the naming (American Maritime Officers)

 

Lee toured Hanwha Philly Shipyard, joined by officials from the Department of Transportation, the Maritime Administration, and others from the U.S. government, while attending the christening ceremony. 

Speaking through a translator, Lee said, "The Republic of Korea's shipbuilding industry is setting out to take on a new challenge to contribute to strengthening U.S. maritime security and rejuvenating America's shipbuilding industry." He highlighted the rapid growth of the country’s industry from “bare ground” to a powerhouse in just 50 years and referred to the “miracle of K-shipbuilding.”

"Through the MASGA (Make American Shipbuilding Great Again) project, we will achieve a 'win-win' outcome that would see the shipbuilding industries of both the United States and South Korea take a leap forward together," Lee highlighted. Yesterday, he promised Trump that South Korea would invest at least $150 billion into U.S. shipbuilding, along with other key industries.

Hanwha Vice Chairman Dong Kwan Kim expressed gratitude to the leaders of both countries and emphasized the importance of joint partnership in bolstering the shipbuilding industry. He said, “Today’s christening ceremony is the physical embodiment of our two nations working side by side to reindustrialize industry, expand our capacity to build ships, and invest in the skilled workforce that will drive the industry forward.”

The third ship of the National Security Multi-Mission Vessel (NSMV) program, State of Maine, is the first purpose-built training ship for the Maine Maritime Academy. At 525 feet in length, it can accommodate 600 cadets for training and, in times of humanitarian need, can handle up to 1,000 people and provide access to an advanced medical facility. The ship, which is due to arrive in Maine later this year, features eight classrooms, an auditorium, and training labs, including a specially-designed training bridge. It has a helicopter pad and is outfitted both to handle containers and roll-on/roll-off cargo to give the cadets hands-on training. 

“This vessel marks a new era for American maritime power,” said Acting Maritime Administrator Sang Yi, who represented Transportation Secretary Sean Duffy, who was detained in Washington and did not attend the ceremony. “MARAD’s mission to modernize sealift and empower the Merchant Marine hinges on relentless innovation and partnership. Together, we can build the fleet America needs to secure our future and dominate the seas.”

Elaine Chao, who has held various senior roles in the U.S. government, including Secretary of Transportation in the first Trump administration, was godmother for the vessel. In prior administrations, she served on the Federal Maritime Commission and as Secretary of Labor.

Philly Shipyard had delivered the first two vessels of the class to New York and Massachusetts. Hanwha Ocean is completing the project to build two additional training ships, which MARAD has assigned to the state maritime academies in Texas and California. The yard has also started work on the first of three LNG-fueled containerships for Matson and is completing a rock installation vessel for Great Lakes Dredge & Dock Corporation.