HD Hyundai Heavy Industries has signed a letter of intent (LOI) with the Peruvian state-run shipyard SIMA for the joint development and construction of the Peruvian Navy's next-generation submarines.
The LOI, which was signed on November 3, is a follow-up to a memorandum of understanding (MOU) from November 2024 and a memorandum of agreement (MOA) from April 2025. It serves to detail the terms of the formal joint development and construction contract, which the two companies aim to finalise within 2025.
After the contract is signed, HD HHI plans to conduct joint basic and detailed design work with the Peruvian Navy and SIMA's technical staff at its Ulsan yard.
Following the design phase, full-scale submarine construction will begin, with support from South Korea's Defence Acquisition Program Administration.
The two shipyards are already jointly building four vessels for the Peruvian Navy, including a frigate, an offshore patrol vessel, and a landing support ship. Luis Silva, President of SIMA Shipyard, stated this is, "the first full-scale submarine joint development project for a South American navy".
Won-ho Joo, President of HD Hyundai Heavy Industries’ naval ships and medium-sized vessels division, said, “We expect that this joint development...will serve as an opportunity to further strengthen the Peruvian Navy’s capabilities by leveraging HD Hyundai Heavy Industries’ accumulated experience in submarine design and construction.”
