South Korean, US Firms Sign 11 Contracts in Shipbuilding, Nuclear, Aviation

Following the Korea-U.S. summit, companies from both countries have signed multiple agreements to enhance cooperation in strategic sectors including shipbuilding, nuclear power, energy, and aviation. Notably, X-energy, Amazon, Korea Hydro & Nuclear Power Corporation (KHNP), and Doosan Enerbility have partnered to accelerate deployment of advanced small modular reactors (SMRs) and fuel in the U.S., aiming to deliver over five gigawatts of new nuclear energy by 2039, supporting data center power needs critical for AI advancement. This collaboration aligns with a recent $350 billion trade deal between the U.S. and South Korea, targeting up to $50 billion in investments to bolster nuclear energy infrastructure. In shipbuilding, HD Hyundai is advancing joint investment and technical cooperation with U.S. partners, including a multibillion-dollar fund with Cerberus Capital to strengthen U.S. maritime capabilities and related infrastructure. Despite the positive outlook from these partnerships, South Korean shipbuilding stocks have declined recently due to market reactions to the Yellow Envelope Act and profit-taking after summit expectations. Overall, these agreements underscore a strategic effort to deepen Korea-U.S. industrial ties in energy and maritime sectors under President Trump's administration goals.