HD Hyundai, Philippines to deepen cooperation on naval modernization
HD Hyundai Chairman Chung Ki-sun, right, and Philippine Defense Secretary Gilberto Teodoro Jr. pose during their meeting in Seoul, Monday. Courtesy of HD Hyundai
HD Hyundai is seeking to expand cooperation with the Philippine government on efforts to modernize the Philippine Navy and strengthen the country's shipbuilding and defense industries.
The company’s Chairman Chung Ki-sun met Philippine Defense Secretary Gilberto Teodoro Jr. in Seoul to discuss expanding cooperation in shipbuilding and defense, as the shipbuilder seeks to deepen its role in the Philippines' naval modernization and shipbuilding industry.
The company said Chung and Teodoro met Monday to assess the progress made through their decade-long defense partnership and explore ways to expand cooperation.
"With the consistent policies and cooperation of the Philippine government and Navy, we were able to make a significant contribution to strengthening the capabilities of the Philippine Navy while also ensuring the stable operation of HD Hyundai's business," Chung said.
"Building on the experience of achieving business success and expansion over the past decade based on mutual trust, we will seek opportunities for long-term industrial cooperation in a broader range of areas beyond commercial and naval shipbuilding."
The two sides discussed broadening their partnership beyond naval vessel projects to strengthen the Philippines' naval capabilities and competitiveness in the local shipbuilding industry.
HD Hyundai began working with the Philippines in 2016, when it won a contract to build the Philippine Navy's first frigates. Since then, the company has expanded its work in the country to include a series of additional naval vessel projects and follow-on programs.
The company opened a shipyard in Subic last year, marking a key step in the two sides’ industrial partnership. The shipbuilder recently launched the first vessel built at the facility and plans to deliver it to the shipowner next year.
HD Hyundai said it plans to gradually expand production capacity at the Subic facility in line with local operating conditions, with the site expected to play a bigger role in its broader industrial cooperation with the Philippines.
Teodoro highlighted the strategic importance of HD Hyundai's role in modernizing the Philippine Navy and strengthening the country's shipbuilding industry, and welcomed the company's plans to expand its presence in the Philippines.
The two sides also agreed to continue pursuing projects that would deliver tangible benefits for both parties.
HD Hyundai has so far secured orders for 12 naval vessels from the Philippines and delivered six of them. It said it will build on that track record by pursuing further frigate projects and other naval programs in the country.