Hanwha Acquires Philly Shipyard For $100 Million, Establishing “Hanwha Philly Shipyard”

South Korea’s Hanwha Group has officially completed its $100 million acquisition of Philly Shipyard, a leading U.S. shipbuilder.

The shipyard, now renamed Hanwha Philly Shipyard, will continue operations under the leadership of David Kim, who has been appointed as the new CEO.

Kim, who previously served as the executive vice president for Hanwha Defense USA, played a key role in the acquisition process.

The acquisition, which received approval from the Committee on Foreign Investment in the United States (CFIUS) in September 2024, is Hanwha’s first shipbuilding venture in the U.S.

With the deal finalised, Hanwha plans to enhance the yard’s capabilities, expand production, and introduce advanced shipbuilding technologies to the operation.

Philly Shipyard, founded in 1997, has built approximately 50% of all large ocean-going U.S. Jones Act vessels since 2000, including tankers and container ships.

The shipyard has also recently completed a second National Security Multi-Mission Vessel (NSMV) for the U.S. Maritime Administration.

David Kim, the newly appointed CEO of Hanwha Philly Shipyard, talked about the company’s commitment to building on Philly Shipyard’s long-standing success.

“We plan to grow and build on a long tradition of success, expanding production using advanced technologies and supporting the national revitalization of U.S. shipyards,” Kim said.

He added that the goal is for Hanwha Philly Shipyard to become a trusted U.S. shipbuilder, providing sustainable maritime solutions for both commercial and government clients.

Hanwha Philly Shipyard aims to significantly increase local employment and expand the shipyard’s scale into new markets.

Hanwha Systems and Hanwha Ocean, the two companies involved in the acquisition, view this move as an opportunity to expand their global presence in both the defence and shipbuilding industries.

Hanwha Ocean, which operates one of the world’s largest shipyards in Goeje Island, Korea, is at the forefront of building eco-friendly, highly efficient marine solutions.

On the other hand, Hanwha Systems is known for its leadership in developing technologies for unmanned maritime systems, naval radars, and maintenance, repair, and overhaul platforms for naval combat systems.

The acquisition of Philly Shipyard was made possible through Hanwha’s purchase of the shipyard from Philly Shipyard ASA, a Norwegian company majority-owned by Aker ASA.

The deal, announced in June 2024, has now been finalised, and Hanwha plans to continue expanding Philly Shipyard’s operations. The shipyard is also involved in building vessels for the offshore wind sector and training ships for the U.S. state maritime schools.

Reference: Hanwha Philly Shipyard