First Among Korean Mid-Sized Shipbuilders, Becomes "Primary Care Provider" for U.S. Navy Vessels
A Signal Flare for Entry into the U.S. Navy Maintenance, Repair, and Overhaul (MRO) Market
Trust Built Through Maintenance! HJ Shipbuilding & Construction Breaks Into U.S. Navy MRO Market
HJ Shipbuilding & Construction, led by CEO Yoo Sangcheol and a leading force in Korea’s defense industry, has successfully signed its first contract for the U.S. Navy’s military logistics support vessel MRO (Maintenance, Repair, and Overhaul) project.
This marks a significant milestone as it is the company's first achievement since announcing its entry into the U.S. Navy vessel MRO market.
On December 15, HJ Shipbuilding & Construction signed a mid-term availability contract with the U.S. Navy’s Naval Supply Systems Command (NAVSUP) and Military Sealift Command (MSC) for the 40,000-ton dry cargo and ammunition transport vessel, the USNS Amelia Earhart.
This MRO project involves essential maintenance, repair, overhaul, and improvement work to ensure the vessel remains operationally ready.
This ship is a logistics support vessel that supplies up to 6,000 tons of ammunition, food, and cargo, along with 2,400 tons of fuel, to key U.S. Navy vessels such as aircraft carriers and combat ships. Since its commissioning in 2008, it has carried out logistics support missions for the U.S. Navy. It measures 210 meters in length and 32 meters in width, and can sail at a speed of 20 knots (37 km/h). The vessel is named after Amelia Earhart, a U.S. human rights activist and the first woman to successfully fly solo across the Atlantic Ocean.
This contract, secured by HJ Shipbuilding & Construction-considered the senior player among domestic naval defense companies-is seen as laying the groundwork for the company’s expansion into the U.S. Navy MRO market. The MRO business provides a wide range of high value-added maintenance, repair, and overhaul services throughout a vessel’s lifecycle. In particular, the U.S. Navy vessel MRO sector is known for its stringent regulations and high technical requirements, making market entry difficult but also highly profitable.
With the Korea-U.S. MASGA (MASGA) project and the introduction of the U.S. Department of Defense’s Regional Sustainment Framework (RSF) policy, expectations are rising in the domestic defense industry as defense cooperation with Indo-Pacific regional allies expands.
Based on its accumulated experience in special ship construction and maintenance, HJ Shipbuilding & Construction has been preparing to enter the overseas MRO market since 2024. Since being designated Korea’s first marine defense company in 1974, it has built and serviced over 1,200 various vessels and logistics support systems, boasting unrivaled expertise and technical capabilities in both advanced shipbuilding and MRO projects.
As HJ Shipbuilding & Construction accelerated its entry into the MRO business this year, the Commander of U.S. Naval Forces Korea, a field inspection team from the U.S. Navy’s Naval Supply Systems Command, and the U.S. Department of Commerce’s Deputy Assistant Secretary all visited the Busan Yeongdo Shipyard to directly assess its facilities, equipment, security, and technical capabilities.
CEO Yoo Sangcheol of HJ Shipbuilding & Construction stated, “With this contract, our maintenance capabilities, technical skills, and contract fulfillment abilities-core competencies for the MRO business-have been internationally recognized. Based on the technology and infrastructure we have built up as a specialized defense contractor for over 50 years, we will meet the U.S. Navy’s delivery deadlines and quality standards to earn their trust.”
Following the contract, HJ Shipbuilding & Construction will begin full-scale maintenance work at the Busan Yeongdo Shipyard’s quay starting in January next year, including hull and major system inspections and repairs, parts replacement, and painting. The company plans to complete the maintenance and deliver the vessel to the U.S. Navy by the end of March next year.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
