Hanwha Philly Shipyard, acquired by South Korea’s Hanwha Group, named a new chief executive and secured a $269 million naval shipbuilding contract as it expands into the U.S. shipbuilding and defense markets. On November 2 the shipyard announced that Hyuk Kim, formerly head of Hanwha Systems’ smart ship business center, would become CEO. The appointment comes as the facility shifts from a commercial focus to building both commercial vessels and U.S. Navy ships.
Kim has more than 25 years of experience in commercial and naval shipbuilding. He studied naval architecture and ocean engineering at Seoul National University, held senior positions at Daewoo Shipbuilding & Marine Engineering and Hanwha Ocean, and most recently led advanced ship technology work at Hanwha Systems. He succeeds David Kim, who led expansion and hiring after Hanwha acquired the yard in 2024. Staffing nearly doubled during David Kim’s tenure, and the shipyard moved ahead with investment and expansion. Hyuk Kim will oversee operations and capacity growth under Tom Anderson, who leads U.S. shipbuilding at Hanwha Defense USA.
On October 29, Hanwha Defense USA said it had secured a $269 million contract in partnership with TOTE Services to build one medium landing ship for the U.S. Navy and Marine Corps, with options for three more. The vessel will carry troops, equipment and supplies to coastal and island locations and is intended to support Marine Corps operations, particularly in the Indo-Pacific. Construction is expected to start in the fourth quarter of 2027, with delivery targeted for 2030. It is Hanwha’s first U.S. Navy shipbuilding contract since the acquisition.
On October 27 Hanwha announced an ownership restructuring giving Hanwha Defense USA control of the yard. Hanwha Systems previously held 60 percent and Hanwha Ocean held 40 percent; the controlling stake is being transferred to an entity led by Hanwha Defense USA. The move is seen as a way to coordinate U.S. commercial and naval operations and compete for future federal shipbuilding contracts.
Hanwha is pursuing $5 billion in investment to develop the yard into a major U.S. production facility. It aims over the long term to raise capacity from about two ships a year to 20 and create up to 10,000 jobs. Plans call for expanding the existing roughly 110-acre yard and adding production equipment and facilities. In September it leased another 47.5 acres at Philadelphia’s Navy Yard for about 475,000 square feet of fabrication, assembly and warehouse space. It also secured about 65,000 square feet of office space for technical and administrative staff.
The investment and contract could have a substantial regional impact. Greater production could increase demand for welders, pipefitters, electricians, engineers, designers and logistics workers, while opening opportunities for suppliers. The 10,000 jobs and 20 ships per year are long-term targets; actual hiring and investment timing will depend on additional contracts and construction progress.
Kim called Philadelphia a key part of Hanwha’s effort to revive U.S. shipbuilding and said he would focus on production efficiency, capacity and training workers for commercial and naval programs. Pairing Korean shipbuilding expertise with U.S. production is seen as a significant example of defense and shipbuilding cooperation. The yard, acquired for $100 million in 2024, has become the site of a major investment plan and a Navy contract within two years, raising questions about what the expansion could mean for local manufacturing and jobs.