South Korea’s major HD HHI pens deals with American players to support defense projects

South Korean shipbuilding heavyweight HD Hyundai Heavy Industries (HD HHI) has signed several contracts with American companies to support maritime defense projects.

One of the contracts was inked with the largest military shipbuilding company in the US, HII. Specifically, the partners signed a Memorandum of Understanding (MoU) to collaborate on accelerating ship production in support of defense and commercial shipbuilding projects. The signing took place at Sea Air Space 2025.

This strategic partnership aims to leverage the combined expertise and resources of both companies to advance technological innovation, maximize production efficiency, and strengthen the global defense industry.

“This partnership marks a new milestone for both of our companies and provides us with the unique opportunity to expand our expertise in shipbuilding,” Won-ho Joo, chief executive of the naval & special ship business unit at HD HHI, said.

The efforts applied under the MOU aim to increase the collective maritime industrial base strength of both the US and South Korea.

The second MoU was signed with Fairbanks Morse Defense (FMD), a portfolio company of Arcline Investment Management, to explore opportunities for collaboration on future international navy initiatives. The signing of the agreement also was held at Sea Air Space 2025.

“The U.S. is signaling to the world that it’s ready to reestablish itself as a shipbuilding nation, and global companies are eager to be part of that effort by working with the American industrial base,” said George Whittier, CEO of Fairbanks Morse Defense.

“This MOU allows both our companies to explore avenues that drive mutual growth while still supporting our national manufacturing and maritime defense priorities.”

Furthermore, HD HHI joined hands with American defense start-up Anduril Industries to develop an unmanned surface vehicle (USV). Through the MoU, the partners aim to combine HD HHI’s autonomous navigation technology with Anduril’s mission autonomy solutions to develop advanced USVs and jointly explore global markets.

Specifically, HD HHI plans to integrate AI ship autonomous technology, such as navigation automation, engine automation, and safety control, into naval platforms. The combination of ship autonomy technology and an autonomous mission execution system will function as a control tower for unmanned surface vehicles.

“We are honored to work with Anduril, a leader in AI defense innovation, on the development of next-generation unmanned vessels, which are key to the future naval market. We will accelerate the realization of unmanned and reduced-crew ships using advanced AI technologies, contributing to the Navy’s Manned-unmanned teaming and the expansion of Korea’s naval ship exports,” Won-ho Joo noted.