HD Hyundai will establish a joint venture (JV) with Kiewit, a major U.S. integrated EPC (engineering, procurement, and construction) company.
According to industry sources on Thursday, HD Hyundai is moving forward with establishing a JV following its strategic partnership with Kiewit last July. The establishment of the JV is effectively confirmed, and the two companies are reportedly in the process of coordinating specific details such as the concrete formation plan. Industry observers view it as highly likely that HD Hyundai will purchase local land to build facilities for producing ship blocks and structures.
Kiewit is a U.S. integrated construction, engineering, and infrastructure specialist, evaluated as having strengths in large-scale EPC fields such as power generation, energy, marine, and industrial facilities. It holds track records of manufacturing and installing large offshore structures, as well as commissioning, in North America and South American regions including Brazil.
At the time of the previous partnership signing, the two companies agreed to explore joint shipbuilding in the U.S. and cooperate on the production of ship blocks and modules. To this end, they decided to jointly conduct business within the United States by combining HD Hyundai's design, equipment supply chain, and construction technology with Kiewit's local manufacturing and construction capabilities, while also promoting the local production of ship blocks and modules. The establishment of this JV is interpreted as a step to further develop the existing cooperative relationship.
HD Hyundai appears poised to accelerate its involvement in "MASGA," a Korea-U.S. shipbuilding cooperation project, through the establishment of a JV with Kiewit. HD Hyundai has been carrying out various cooperation projects locally in the U.S., including signing MOUs for domestic shipbuilding with Huntington Ingalls and Edison Chouest Offshore (ECO) in April and June last year.
The judgment that securing a local shipbuilding base is necessary to fully expand business within the United States is also cited as a background factor behind the push to establish this JV. Competitor Hanwha Ocean has already moved to expand its local production base, having acquired the Philadelphia Shipyard in 2024 and proceeding with investments worth 11 trillion won. HD Hyundai similarly believes that securing a production base within the U.S. is essential to more actively pursue cooperation with local shipbuilders and shipbuilding projects.
An official from HD Hyundai stated, "We signed a strategic partnership with Kiewit last July and have been conducting discussions regarding joint shipbuilding in the U.S. and cooperation on the production of ship blocks and modules," adding, "It is true that both companies are discussing additional cooperation options, but nothing has been finalized yet."
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