US secures largest commercial vessel order in two decades with Hanwha Shipping

Hanwha Shipping, the group’s Houston-based shipowning subsidiary, disclosed on 27 August that it has ordered 10 MR oil/chemical tankers at Hanwha Philly Shipyard, with the first vessel scheduled for delivery in early 2029. According to Hanwha Ocean, this represents the highest-value commercial order placed at US shipyards in recent history.

In a further boost, Hanwha Shipping has exercised an option to build a second LNG carrier, doubling the US orderbook for LNG carriers to its highest level since the 1970s. 

Riviera reported last month on the initial LNG carrier order at Hanwha Philly Shipyard, which subcontracted construction to Hanwha Ocean. Both vessels, scheduled for delivery in Q1 2028, are priced at about US$250M each.

Hanwha Ocean previously disclosed that while most of the LNG carrier’s construction will take place at its Geoje shipyard in South Korea, Hanwha Philly Shipyard will oversee certification and compliance work to meet US maritime regulations, including safety standards set by the US Coast Guard.

These developments follow Hanwha’s US$100M acquisition of US shipbuilder Philly Shipyard in December 2024.

Strengthening the US Jones Act fleet

Hanwha Shipping noted the MR tankers will significantly expand the US Jones Act fleet – vessels that are US-built, US-owned, and US-crewed to operate between American ports.

“Hanwha has made a long-term commitment to bringing cutting-edge technology from Korea to the Hanwha Philly Shipyard that will create thousands of good, advanced manufacturing jobs in the United States,” said Hanwha Shipping president and chief executive Ryan Lynch.

The company added the newly ordered tankers will serve “as a strategic platform to support energy security for the US and its allies, reinforce American leadership in global energy logistics, and reindustrialise America’s maritime sector.”

Hanwha also said it plans to transfer advanced shipbuilding technologies, processes and supply chains to Hanwha Philly Shipyard as part of the programme.

US$5Bn infrastructure expansion

Beyond the latest orders, Hanwha Group has announced a US$5Bn infrastructure investment plan for Hanwha Philly Shipyard, as part of South Korea’s commitment to supporting US shipbuilding through a US$150Bn investment fund.

The funds will support the installation of two additional docks and three quays to expand capacity. Hanwha is also considering constructing a new block assembly facility. With this expansion, Hanwha aims to boost Philly Shipyard’s annual production from fewer than two vessels to up to 20.

The announcement coincided with the christening of the US Maritime Administration’s third national security multi-mission vessel (NSMV) at Hanwha Philly Shipyard. The NSMV programme is designed to revitalise US maritime training infrastructure, directly supporting nearly 1,500 skilled jobs in Philadelphia while enhancing US competitiveness at sea and ashore.