Hyundai Heavy Industries Effectively Secures KDDX Order Worth 7 Trillion Won

The Largest Amount Ever in Domestic Shipbuilding Projects... Announcement This Month After DAPA Evaluation and Verification
Basic Design Completion of 6 KDDX Ships Planned After Official Contract in October

[Asia Economy Yang Nak-gyu, Military Specialist Reporter] Hyundai Heavy Industries has virtually secured the Korean next-generation destroyer (KDDX) project worth 7 trillion won, known as the 'mini Aegis ship.'

According to military officials on the 12th, Hyundai Heavy Industries and Daewoo Shipbuilding & Marine Engineering submitted proposals for the KDDX basic design project to the Defense Acquisition Program Administration (DAPA) last month and underwent evaluation. The evaluation was scored out of 100 points (80 points for technology and 20 points for cost), with Hyundai Heavy Industries reportedly edging out Daewoo Shipbuilding & Marine Engineering by a fraction of a point.

DAPA plans to verify the evaluation results next week and announce the preferred negotiation partner within this month. Military authorities expect to finalize the contract with Hyundai Heavy Industries through negotiations by October. Hyundai Heavy Industries aims to complete the basic design by the second half of 2023 and begin detailed design and lead ship construction from 2024.

DAPA plans to build a total of six KDDX ships. The KDDX development project is aimed at securing combat ships to be operated as the navy's core force. The KDDX is a 6,000-ton class vessel smaller than the navy's Aegis destroyers (7,600-ton class) and is called a 'mini Aegis ship' capable of performing the basic missions of Aegis destroyers, such as missile interception.

Hyundai Heavy Industries has built over 80 vessels, including Korea's first Aegis ship, the Sejong the Great-class destroyer. Since last year, it has secured contracts for detailed design of the next-generation Aegis destroyer (KDX-Ⅲ Batch-Ⅱ) lead ship, as well as concept designs for the large transport ship-Ⅱ (LPX-Ⅱ) and ocean intelligence ship-Ⅲ (AGX-Ⅲ).

DAPA stated, "Starting this month, we will reduce the shipbuilding period significantly by shortening the sea trial procedures that test the ship's comprehensive performance," adding, "Reducing the sea trial process, which accounts for 30% of the construction period, will also enhance export competitiveness."