Samsung Heavy Industries Partners with Vigor as Korea Rolls Out MASGA
South Korea’s Samsung Heavy Industries announced a partnership with Oregon-based Vigor Marine Group as part of the companies committing to U.S. investments during the Korean president’s visit to the United States. SHI looks to use the partnership as a way to break into the lucrative repair business for the U.S. Navy and Military Sealift Command (MSC) while also supporting South Korea’s “Make American Shipbuilding Great Again” (MASGA) initiative.
Hanwha Ocean was the first South Korean shipbuilder to win contracts under the U.S.’s maintenance, repair, and overhaul (MRO) program, and recently HD Hyundai Shipbuilding reported it has also won its first MRO contract. It comes as the U.S. looks to expand maintenance capabilities and expedite the projects by keeping the ships forward deployed as opposed to having to wait for limited shipyard space in the United States.
SHI reports it will leverage its expertise and efficiency in shipbuilding while adding a new element to the forward-deployed repair program. By partnering with Vigor Marine, they report the partnership will combine VMG’s deep customer relationships, proven ability to deliver complex projects on time and on budget, and innovative, commercial mindset with SHI’s world-class Korean shipyard facilities, skilled workforce, and advanced technology leadership. Vigor Marine Group will serve as the lead U.S.-based prime contractor.
“We understand the Navy’s evolving needs and have built a track record of delivering results in support of our national defense,” said Francesco Valente, President & CEO of Vigor Marine Group. “Partnering with Samsung allows us to extend that same capability to forward-deployed operations in the Indo-Pacific and potential shipbuilding opportunities here in the U.S. — helping the Navy increase its operational tempo while maintaining the highest quality standards.”
Vigor reports it will continue to develop new ways to perform maintenance and modernization work more efficiently and effectively, while SHI will employ its leadership in automation, digital shipyard technology, and advanced engineering. Together, they promise to introduce new levels of innovation to forward repair operations, streamlining processes, reducing downtime, and enhancing overall fleet readiness.
The deal was one of several announced during a trade meeting during President Lee Jae Myung’s visit to the United States and meeting with Donald Trump. Korean companies committed to a total of $150 billion in investment in areas ranging from shipbuilding to aerospace, semiconductors, batteries, and strategic minerals.
Samsung Heavy Industries and Vigor Marine report they will also explore opportunities to support a U.S. shipbuilding renaissance, including a return to Vigor Marine Group’s shipbuilding roots in the Pacific Northwest. Vigor CEO Valente said investment and implementation of SHI’s advanced technology could support new shipbuilding opportunities in the United States.
Vigor Marine, after being acquired by Carlyle in 2019, has consolidated its operations under a unified brand name with six locations, ranging from the Pacific Northwest to California and Alaska, as well as Virginia. The company has worked to expand its role as a preferred, full-service prime contractor in the defense and maritime sectors, offering advanced services and complete solutions for the U.S. Navy, U.S. Army, Military Sealift Command, state ferry systems, the cruise industry, the commercial fishing industry, and more.
HD Hyundai has also developed partnerships in the United States, including with Edison Chouest Offshore. As part of this week’s trade mission, it also announced an agreement with U.S. private equity giant Cerberus Capital Management and the Korea Development Bank for investments into the U.S. shipbuilding sector. Hanwha Ocean is also planning further investments after buying the Philly Shipyard in 2024 and committing to expanding its operations.