South Korea's Hanwha Group completes acquisition of US Jones Act shipbuilder Philly Shipyard

South Korea's Hanwha Systems and Hanwha Ocean (formerly Daewoo Shipbuilding and Marine Engineering) successfully completed their US$100 million acquisition of Philly Shipyard yesterday.

As a part of this acquisition, David Kim will step in to the role of chief executive officer to guide the shipyard through this transition. Kim previously served as executive vice president for Hanwha Defense USA and was involved in the planning for Hanwha’s acquisition of Philly Shipyard, to now be known as Hanwha Philly Shipyard.

Philly Shipyard, established in 1997, delivered around 50 per cent of all the large ocean-going US Jones Act commercial ships since 2000, including tankers and container ships. The yard also recently completed a second National Security Multi-Mission Vessel (NSMV) for the Maritime Administration.

Hanwha Systems and Hanwha Ocean’s joint effort to acquire the shipyard from Philly Shipyard, a Norwegian company listed on the Euronext Expand Oslo and majority-owned by Aker, was first announced in June 2024.

With this purchase, Hanwha further expands into the US market for commercial and defense shipbuilding. Hanwha Ocean, spanning approximately 4.9 million square metres in Goeje Island, Korea, is one of the biggest shipbuilding groups in the world.

“With Philadelphia’s rich history in shipbuilding, Hanwha is eager to usher in a new era of success,” CEO David Kim said. “We aim to build on Philly Shipyard’s achievements, expand into naval vessel production and increase local employment opportunities.

"With Hanwha’s global scale, deep technology expertise, and more than 50 years of shipbuilding experience we look forward to driving remarkable growth, and we can’t wait to embark on this new journey as Hanwha Philly Shipyard.”