HD Hyundai Heavy Industries (HD HHI) and Huntington Ingalls Industries (HII) have signed a memorandum of agreement (MOA) marking a significant milestone in global shipbuilding collaboration, reports a HII release.
The agreement, formalized on October 26, 2025, in Gyeongju, South Korea, during the APEC forum, focuses on advancing distributed shipbuilding and developing joint projects for auxiliary and commercial vessels. By combining HII’s extensive experience in U.S. naval shipbuilding with HD HHI’s advanced ship design and construction capabilities, the two companies aim to expand industrial capacity, accelerate innovation, and enhance global maritime resilience.
HD Hyundai and HII unite for next-gen shipbuilding
Under the new MOA, HII and HD Hyundai Heavy Industries will explore opportunities to strengthen shipbuilding capacity in the United States through distributed fabrication and flexible construction models. The two shipbuilders plan to jointly pursue naval auxiliary ship programs, drawing on their respective expertise to improve efficiency and reduce production timelines. The partnership also includes collaboration on engineering, research and development, and the application of advanced technologies such as artificial intelligence, machine learning, robotics, and automation. Furthermore, the companies will work together to expand lifecycle support for vessels operating in the Indo-Pacific region, emphasizing maintenance, sustainment, and regional repair facilities.
The agreement holds far-reaching implications for both the commercial and defense maritime sectors. By integrating HD Hyundai’s global shipbuilding expertise with HII’s established presence in the U.S. naval market, the collaboration seeks to strengthen the U.S. industrial base while introducing modernized, technology-driven construction methods. It also reflects a growing emphasis on supply chain resilience and strategic alignment between South Korea and the United States, particularly in the context of maritime security and logistics. Distributed shipbuilding — a model in which different components are fabricated and assembled across multiple facilities — is expected to reduce construction time and enhance flexibility in vessel production.
This partnership builds upon the companies’ earlier memorandum of understanding signed in April 2025, which focused on sharing best practices for cost reduction, project scheduling, and productivity improvements. In recent months, HD HHI and HII have also collaborated on a next-generation logistics ship design for the U.S. Navy, showcasing their complementary strengths — HD Hyundai’s advanced ship design and HII’s deep experience in naval auxiliary vessels.
Looking ahead, both companies plan to coordinate closely to establish frameworks for distributed shipbuilding, align technology transfer initiatives, and pursue new joint opportunities in the auxiliary and commercial markets. Their collaboration represents not only a significant technological and industrial milestone but also a symbol of strategic cooperation between two major shipbuilding nations. As HII and HD Hyundai Heavy Industries begin implementing their agreement, the global maritime community will be watching closely to see how this partnership redefines the future of ship construction and international collaboration.
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Source: HII
