HD Hyundai Forms U.S. Shipbuilding Joint Venture

HD Hyundai has formed a U.S. shipbuilding joint venture with Kiewit, the largest construction and engineering firm in the United States. The signing of an agreement took place in Houston on Oct. 22. The new joint venture, HD Kiewit Shipbuilding, plans to construct a state-of-the-art smart shipyard on an industrial site within the country.

Scheduled to commence construction in 2027 and enter full operations by 2029, the project stands out due to its commitment to building a new shipyard from scratch. This approach will see HD Hyundai introduce its "Future of Shipyard" model and digital production technologies to the U.S. market, incorporating advanced features such as digital twin, automated production systems, and robotic welding throughout the entire production process.

This initiative aims to tackle the chronic shortage of skilled workers in the U.S. shipbuilding industry by improving productivity and quality. Additionally, HD Kiewit Shipbuilding intends to pursue business opportunities, particularly in the creation and supply of ship blocks and modules to other U.S. shipyards. Long-term, the two companies plan to expand their collaboration to include port infrastructure development, thereby increasing their impact across the broader U.S. shipbuilding industrial sector.

Upon the shipyard's full-scale operation, approximately 3,000 local jobs are projected to be generated.

HD Hyundai's local operations head, Choi Han-nae, emphasized the milestone as a demonstration of HD Hyundai's commitment as a strategic partner in the U.S. shipbuilding industry. The company aims to contribute to strengthening the shipbuilding supply chain in the United States through technical education programs for local workers.

Kiewit Maritime CEO, Chad Johnson, expressed expectations that the joint venture will lead to the creation of a modern shipyard by combining Kiewit's infrastructure capabilities with HD Hyundai's expertise. Following the joint venture's establishment, both companies will proceed with concrete steps towards rebuilding the U.S. shipbuilding industry, continuing site selection and design work for the new shipyard.