With 'MASGA,' the Korean heart is willing but the U.S. body is weak

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With 'MASGA,' the Korean heart is willing but the U.S. body is weak

Published: 05 Sep. 2025, 07:00

Audio report: written by reporters, read by AI

Hanwha Philly Shipyard in Philadelphia on Aug. 26 [YONHAP]

Korea’s major shipbuilders are accelerating efforts to enter the North American market as the United States rolls out its initiative to "Make American Shipbuilding Great Again," or "MASGA," aimed at reviving its long-declining shipbuilding sector.

The Korean industry sees opportunity, but faces hurdles in building supply chains and securing skilled labor in the local market.

Three shipbuilders, three strategies

Hanwha Ocean is betting on operational local shipyards. After acquiring Philly Shipyard in Philadelphia last year for about $100 million, Hanwha unveiled a $5 billion investment plan to expand facilities, adding two docks, three berths and block assembly lines. The goal is to boost output from one to two ships a year to more than 20, with automation and smart-ship technologies gradually introduced.

HD Hyundai is considering buying a U.S. shipyard while pushing a multibillion-dollar “U.S. Shipbuilding Investment Program” with the Korea Development Bank and private equity firm Cerberus. The plan includes infrastructure acquisition, technology transfer and the creation of a production network.

Samsung Heavy Industries has signed a memorandum of understanding with a U.S. defense contractor and is preparing to enter the U.S. Navy’s maintenance, repair and overhaul (MRO) market. While investment figures have not been disclosed, the company has begun pilot projects focused on technical cooperation and repair capabilities. Samsung is exploring joint ventures, technology transfer and block shipments alongside independent investment.

A ″Make American Shipbuilding Great Again″ hat presented by the Korean trade negotiation team to U.S. President Donald Trump in July [PRESIDENTIAL OFFICE]

Hanwha Philly Shipyard staff wear hats promoting the "Make American Shipbuilding Great Again" initiative in Philadelphia on Aug. 26. [YONHAP]

A wave of orders, gaps in infrastructure

The moves align with Washington’s plans to place large-scale orders. According to a May report from the Federation of Korean Industries, the United States could commission as many as 448 ships — including strategic sealift vessels, liquefied natural gas (LNG) carriers and naval ships — by 2037.

Yet U.S. shipbuilding infrastructure is lacking. There are no domestic suppliers for specialized LNG tank materials, and systems to provide steel plates for shipbuilding remain weak. One workaround would be to manufacture blocks in Korea and assemble them in the United States, but complex logistics and management costs could undercut profitability.

Labor shortages also loom large. Only two U.S. universities — the University of Michigan and the University of New Orleans — offer naval architecture programs, and finding skilled workers is difficult. Korean shipbuilders each employ around 10,000 workers at home, but in the United States, even hiring several hundred consistently has proven challenging.

President Lee Jae Myung takes photos with Hanwha executives at the Hanwha Philly Shipyard in Philadelphia on Aug. 26. [YONHAP]

“Many local hires quit within a week,” said one industry source. “Securing a work force is the toughest task.”

Long road ahead

Analysts warn that the U.S. industry's infrastructure gap and labor constraints will persist in the near term.

“The U.S. shipbuilding base collapsed decades ago, leaving equipment, skills and work force systems all but dismantled,” said Yang Jong-seo, a senior researcher at the Export-Import Bank of Korea.

"Overcoming these weaknesses will require a joint public-private effort and long-term investment in vocational training, technology transfer and infrastructure rebuilding rather than chasing quick gains."

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY PARK YOUNG-WOO [[email protected]]