Report: Korea’s HD Hyundai Negotiating Acquisition of US Shipyard
South Korea’s largest shipbuilder, the HD Hyundai Group, is reportedly closing in on the acquisition of a U.S. shipyard as the next piece of its strategy for the American industry. Korean media reports indicate that the company is pursuing the acquisition after having already formed several partnerships also designed to leverage the opportunities under Korea’s MASGA (Make American Shipbuilding Great Again) initiative.
HD Hyundai is said to be in advanced negotiations with the American shipyards after having targeted two or three companies, writes South Korea’s Chosun Daily. It says the company is targeting a presence either in the San Diego area near the headquarters of the U.S. Pacific Fleet or along the Texas Gulf Coast. Chosun reports the company was preparing to announce a deal in July in Washington, D.C., but there was a last-minute disagreement on the price.
Business Korea quotes analysts as saying HD Hyundai is accelerating its pace for acquiring a U.S. shipyard after the White House’s recent release of its shipbuilding strategy that included the use of foreign shipyards under the so-called "Finnish model" (the agreement to build Arctic Security Cutters for the USCG).
Chosun highlights that the Trump administration is setting investment or acquisition of a U.S. shipyard as one of the criteria to qualify for the projects. It wants local hiring and technology transfers for the U.S. company in exchange for building the first two vessels of the new class internationally.
The valuation of U.S. shipyards, however, is reported to have increased significantly with larger asking prices as the Trump administration has pushed forward with its plans to expand the U.S. Navy and modernize the U.S. Coast Guard’s fleet.
The reports indicate that HD Hyundai has already enlisted the support of U.S.-based private equity firm Cerberus Capital Management and the Korea Development Bank for the U.S. investment or acquisition. Hyundai and Cerberus already had a relationship, as it is leasing the newly relaunched Philippine shipyard from Cerberus. The reports also highlight that HD Hyundai’s intermediate-level company, HD Korea Shipbuilding & Offshore Engineering, also established a U.S.-based subsidiary, HD Hyundai USA, in May 2026.
HD Hyundai is reportedly looking to catch up with Hanwha, which acquired the Philly Shipyard in 2024, is investing in increasing the capabilities at the yard, and recently said it wanted to acquire the U.S. operations of Austal. HD Hyundai and Hanwha have emerged as key competitors to build warships.
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HD Hyundai has, however, also formed several key partnerships in the U.S. shipbuilding sector. In 2025, it announced an agreement with Huntington Ingalls Industries (HII), the largest defense shipbuilding company in the U.S., that focuses on improving shipbuilding productivity and fostering advanced technological cooperation. It also entered into an agreement with Edison Chouest Offshore that envisions building medium-sized LNG dual-fuel containerships at Tampa Ship.
The partnerships were expanded in 2026. HD Hyundai and Kiewit Offshore Services last month announced that they had entered into a Strategic Partnership Agreement to pursue collaboration on shipbuilding projects serving the U.S. market and other areas of mutual strategic interest. HD Hyundai and Siemens also signed a “nine-figure deal” that establishes Siemens as a key technology partner for HD Hyundai’s next-generation shipbuilding and digitalization strategy focusing on U.S. shipbuilding.
