HD Hyundai kicks off warship construction project in Peru

K-Defense expands its reach into Latin America

By Ko Dong-hwan

HD Hyundai Heavy Industries (HD HHI) has officially launched the Peru Warship Project, marking a significant milestone for Korea’s defense exports in Latin America. A ceremony was held on Friday, (local time) at the state-run SIMA Shipyard in Peru, where construction began on four key naval vessels, including a frigate, an offshore patrol vessel and an amphibious landing ship.

The event included steel-cutting and keel-laying ceremonies, symbolizing the formal start of the project. Dignitaries in attendance included Peruvian President Dina Boluarte, Prime Minister Gustavo Adrianzén Olaya, Defense Minister Walter Astudillo and Navy Commander Luis Jose Polar Figari. Representing HD HHI was Joo Won-ho, head of the Naval & Special Ships Business Unit.

The vessels will be built locally at SIMA Shipyard using HD HHI’s advanced designs and shipbuilding expertise. The first ship is slated for delivery in 2026, with the remaining vessels to follow.

The Peru Warship Project is the result of a 640.6 billion won defense contract awarded to HD HHI in April 2024. This collaboration, part of the Korean government’s Team Korea initiative, is seen as a model for expanding K-defense’s global footprint.

“This is a historic moment for Peru’s shipbuilding industry,” Boluarte said. “We anticipate this partnership with HD HHI will modernize our Navy and contribute to our nation’s economic development.”

Joo echoed the sentiment, while also stressing the broader implications for Korea’s defense sector.

“This project marks the beginning of the K-defense’s entry into Latin America," he said. "We are committed to ensuring its success through technological excellence and mutual trust, strengthening defense ties between Korea and Peru.”

To deepen bilateral collaboration, HD HHI, in partnership with the University of Ulsan, will host the two-week Naval Architecture Training Program for 12 engineers from SIMA Shipyard starting Monday. The company also plans to enhance local shipbuilding capabilities by working closely with Peruvian equipment suppliers.

HD HHI is pursuing its Pan-Pacific Belt Vision, aiming to establish a global network of defense hubs. This strategy involves building partnerships, localizing ship construction and standardizing technology transfer in key regions, including Peru, the Philippines, Saudi Arabia and the United States.

The Peru Warship Project represents a critical step in realizing this vision, showcasing Korea’s growing role in the global defense industry.