U.S. Expands Shipbuilding Agreement with South Korea

The United States is taking significant steps to revitalize its shipbuilding industry amid concerns over lagging production and China's growing maritime influence. The U.S. Trade Representative's office plans to introduce new port fees for China-linked vessels, exempting U.S.-owned and registered ships, with the revenue directed toward enhancing domestic shipbuilding. President Donald Trump has issued an executive order focused on restoring America's maritime dominance and strengthening national security. In response, America’s largest military shipbuilder, Huntington Ingalls Industries, has signed a memorandum of understanding with South Korea’s Hyundai Heavy Industries, aiming to leverage South Korean efficiency and expertise to address chronic delays and budget overruns in U.S. ship production. Analysts highlight that strategic cooperation with Korean firms like HD Hyundai and Hanwha Ocean could help the U.S. regain lost capacity, lower costs, and accelerate delivery of critical naval assets. These developments underscore a broader effort to combine domestic investment with international partnerships to rejuvenate the U.S. maritime sector.