Page 75: of Maritime Reporter Magazine (August 2026)

The Final Word: Shipbuilding

Philly. A Department of Labor program and as a result more than several com- Capital Cost to build the infrastructure

Amtech has been involved with at Mas- mercial operators, with prior commer- or assets, but also an e? cient Operat- sachusetts Maritime Academy. cial construction history delivering MR ing Expense and pro? t to maintain and

A week or so prior to the KUSPC tonnage at HMD, set their next projects operate the asset through its life. The event, Hanwha Philly announced the in China. KUSPC program can assist the U.S. award of a $2 billion contract to build Hanwha Ocean and HD Hyundai Shipyards in meeting those immediate two new missile-tracking vessels for Heavy Industries failed to win Cana- goals for the projects under MOU. It

U.S. Missile Defense. That award state- da's submarine program order in 2026. needs to take into account “life” after ment is correct with “B” as in Billion. The program was a joint cooperation the Federal Direct Investment and the

The vessels are replacing the Paci? c between the two companies and the commercial markets beyond defense

Tracker and Paci? c Collector owned loss severely a? ected their future de- that support commercial seafarers and by the US Government and operated by fense revenue projections. The third private operators whether under coastal

Tote Services. The award indicates an- large South Korean shipbuilder, Sam- registry, cargo preference, Marad pro- other construction movement towards sung Heavy Industries, does not build grams or the attempt to reach Global

Naval and Military applicable vessels warships. Its MASGA MOU with Sa- competition levels of operation. without historical competitive bid. ronic is an indication that may change. Billion-dollar vessel construction

The interest in this speci? c U.S. gov- As a result of the Canadian Submarine will not meet that commercial goal. ernment market is widely reported in contract loss, Hanwha Ocean and HD the South Korea press and media. Hyundai are targeting warship pro-

Our interest is how it a? ects both grams established throughout the world

U.S. and Foreign commercial ship- to develop naval defense exports. The building capacity, price and available most recent orders expected in South- delivery dates. An a? ect that can in? u- east Asia and South America. Through ence the ability to “? ag in” cost a? ec- the Korea-U.S. MASGA shipbuilding tive new foreign tonnage for proposed partnership project, they are also pre-

Marad and Cargo Preference programs paring a long-term goal of building U.S. and more importantly vessels quali? ed warships. Amtech has presented com- for U.S. coastwise registry to rebuild mercial projects to develop tonnage an aging “Jones Act” ? eet. A market that attracts private investment and upside down as it responds to the cur- supports defense requirements with- rent waiver and over 180 foreign vessel out the delivered tonnage being U.S. voyages trading along the U.S. coasts. Naval registration. To meet expedited

In 2025, the Korean press announced delivery requirements a small portion

The Author

HD Hyundai plans to merge HD Hyun- of those projects may be required in dai Mipo (HMD) with their Naval foreign yards prior to “re? ag”. This is “Special Purpose” Planning o? ce and the “bridge” issue now being debated.

production. HD Hyundai Heavy Indus- The U.S. Shipbuilding industry and tries looked to expand its naval defense vessel operators need to understand that business overseas with warship orders these programs are defense programs by combining HD Hyundai warship not commercial shipbuilding and opera- construction technology with Hyundai tion. U.S. shipyards need a separate pro-

Mipo's production infrastructure. gram to address the cost of construction

HMD has been long considered the to allow private investment.

lead designer and builder of Medium A commercial industry is a business

Kunkel

Range tankers. A tanker design tagged sector focused on trade, manufacturing,

Robert Kunkel, president of Alternative in many industry reports as needed to or providing services with the primary

Marine Technologies and First Harvest support a U.S. Indo-Paci? c defense goal of making a pro? t. To attract pri-

Navigation, served as the Federal Chair- man of the Short Sea Shipping Coopera- theater with up to 100 vessels. The HD vate investment that business sector or tive Program under the DOT’s MARAD

Hyundai production shift earmarked project must develop a business model from 2003 until 2008.

slots for only Naval based contracts that not only provides an acceptable www.marinelink.com 75

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