South Korea Launches $150 Billion U.S. Shipbuilding Investment Alliance

South Korea launched the Korea-U.S. Shipbuilding Cooperation Investment Council on June 25, 2026, to oversee a $150 billion investment aimed at rebuilding the United States shipbuilding industry. Formalized through a memorandum of understanding signed in Seoul, the initiative is part of a larger $350 billion multiyear investment plan in U.S. manufacturing. The project, referred to as Make American Shipbuilding Great Again (MASGA), seeks to expand South Korean supply chains while assisting the U.S. in restoring its domestic shipbuilding base.

The Korea-US Strategic Investment Corp. leads the effort alongside the Export-Import Bank of Korea, which serves as the council's secretariat, and four state-backed financial institutions. Three major shipbuilders—HD Hyundai Heavy Industries, Samsung Heavy Industries, and Hanwha Ocean—joined the alliance to identify and implement profitable investment opportunities in the U.S. market.

South Korea pursued the agreement to secure a 15 percent tariff rate from the Trump administration for its chip manufacturers and automakers. In parallel, the U.S. government is considering offshoring vessel maintenance and construction to Korea, seeking $1.85 billion in funding for procurement and related studies. South Korean officials emphasized the need for policy-finance institutions to share the risks of these initial investments to ensure the participation of small and midsize suppliers.