Hanwha Ocean (042660.KS) is accelerating its push into the US Navy shipbuilding market through a partnership with a major American defense contractor.
Hanwha Ocean said Tuesday that it signed a memorandum of understanding (MOU) with Leidos Gibbs & Cox on "Strengthening Naval Shipbuilding Capabilities for the US and Allied Navies" at the Sea-Air-Space 2026 (SAS 2026) exposition being held in Maryland on Monday local time.
Under the agreement, the two companies will collaborate on designing Hanwha Ocean-type vessels optimized to US Navy specifications, jointly developing next-generation warships for the global market, building a supply chain utilizing production bases in both the US and Korea, and pursuing ship designs optimized for efficient production and long-term maintenance.
Gibbs & Cox, a key subsidiary of Leidos, holds an unrivaled position in warship design, having designed more than 70% of US Navy surface combatants since World War II.
The company provides design and engineering services for the US Navy's mainstay vessels, including the Aegis destroyer (DDG-51), next-generation frigate (FFG-62), Large Unmanned Surface Vessel (LUSV), and next-generation destroyer (DDG(X)). It is considered a top partner for pioneering the domestic and global warship markets, given its complete understanding and implementation of the US Navy's operational requirements and technical specifications.
Leidos Gibbs & Cox was also known as a key partner when Italy's Fincantieri entered the US warship market. Fincantieri is regarded as having successfully established itself in the US market through its collaboration with Leidos Gibbs & Cox while executing the Constellation-class frigate and Freedom-class Littoral Combat Ship (LCS) programs.
"Through our collaboration with Hanwha Ocean, we will be able to develop warships optimized for future changes by combining proven design expertise with world-class manufacturing capabilities," said Mike Rickels, vice president of Leidos Gibbs & Cox. Uh Sung-chul, president of Hanwha Ocean's Naval & Special Ship Business Division, said, "Through our collaboration with Leidos, a leading US defense company, we will accelerate our entry into the global maritime defense market and produce tangible results."
Meanwhile, Hanwha was the only Korean company to participate in this year's SAS event with a large-scale, independent exhibition pavilion.
