HD Hyundai, a South Korean shipbuilding company, has partnered with Siemens, a German technology conglomerate, to modernize and digitalize the US vessel construction industry. The two companies have signed a memorandum of understanding (MoU) to combine digital and automation technologies to build smart shipyards and enhance shipbuilding capabilities in the US. The goal of the collaboration is to improve the competitiveness of the US shipbuilding industry by enhancing design quality, reducing costs, and lowering manufacturing risks.
The partnership will focus on driving technological innovation in the vessel construction sector by accelerating digital transformation, automating block assembly and installation processes, and improving production, quality, and process management through data-driven solutions. Additionally, the initiative will establish workforce development and specialized engineering programs, building on HD Hyundai’s existing academic partnerships with American universities such as the University of Michigan and the Massachusetts Institute of Technology.
The US shipbuilding industry has been struggling, with only a handful of large, oceangoing commercial vessels built per year. In contrast, countries like China, South Korea, and Japan construct hundreds or thousands of vessels annually. To revamp its maritime industry, the US government has been pouring efforts into boosting its capacity, including partnerships with major companies and governments. The recent bilateral trade agreement between South Korea and the US, worth $350 billion, includes $150 billion allocated towards the US vessel construction rejuvenation fund.
HD Hyundai has been actively involved in these efforts, aiming to strengthen its cooperation network in the US. The company has pledged to support the Trump Administration’s “Make American Shipbuilding Great Again” initiative and has set up strategic partnerships with American players like Huntington Ingalls Industries and Edison Chouest Offshore. Furthermore, Hanwha Group, another South Korean company, has announced a $5 billion infrastructure plan for its Hanwha Philly Shipyard, as part of the rejuvenation fund.
The partnership between HD Hyundai and Siemens is expected to play a significant role in the US shipbuilding industry’s revitalization efforts. By leveraging digital and automation technologies, the two companies aim to enhance the competitiveness of US shipyards and contribute to the growth of the industry. With the support of the US government and the involvement of major companies, the US shipbuilding industry is poised for a significant transformation in the coming years.