HD Hyundai Heavy Industries has secured a maintenance, repair, and overhaul (MRO) contract for the USNS Alan Shepard, a U.S. Navy auxiliary ship, marking the first such agreement since the Republic of Korea announced significant investments in the U.S. shipbuilding sector.
The 41,000-ton dry cargo and ammunition ship, commissioned in 2007 and currently assigned to the U.S. Navy’s Seventh Fleet, will undergo scheduled overhaul work starting in September. The operations will take place near HD Hyundai Mipo Dockyard in Ulsan and will include propeller cleaning, tank maintenance, and inspection of various onboard systems. The ship is expected to be returned to the U.S. Navy by November 2025.
This is the first MRO contract awarded to a South Korean shipbuilder since the Korean government introduced the “Make American Shipbuilding Great Again (MASGA)” initiative. The program outlines a $150 billion investment plan to support shipbuilding infrastructure in the United States, workforce training, supply chain development, and maintenance services for U.S. naval and commercial vessels.
Officials have cited the MASGA initiative as a contributing factor in reducing proposed U.S. tariffs on Korean imports from 25% to 15%, under a broader trade agreement between the two countries.
HD Hyundai Heavy Industries has expanded its cooperation with U.S. shipbuilders in recent months. In April, the company signed a strategic partnership with Huntington Ingalls Industries, the largest defense shipbuilder in the U.S., focusing on technology exchange and joint naval projects. In June, it partnered with Edison Chouest Offshore in the commercial sector and hosted the Korea-U.S. Shipbuilding Leaders Forum to promote bilateral industry ties.