South Korea has reportedly proposed a multi-billion dollar shipbuilding project, tentatively named “Make American Shipbuilding Great Again” (MASGA), to the United States. This initiative comes as Seoul intensifies efforts to secure a favorable tariff deal with Washington ahead of a crucial deadline on Thursday.
According to various reports citing unnamed sources, South Korea’s Minister of Trade, Industry and Energy, Kim Jung-kwan, presented the MASGA project and a broader vision for shipbuilding cooperation during high-level talks with US Commerce Secretary Howard Lutnick in New York on Friday.
The MASGA proposal, which echoes President Donald Trump’s “Make America Great Again” slogan, is said to encompass a comprehensive package. This includes significant investments in the US by South Korean shipbuilders and financial support from the Korean government, potentially involving state-run institutions like the Export-Import Bank of Korea and the Korea Trade Insurance Corporation, through loans and guarantees. Reports suggest that Secretary Lutnick, considered a key figure in the tariff negotiations, responded positively to the offer.
However, the Ministry of Trade, Industry and Energy has stated that the reported details of the MASGA proposal remain unconfirmed as negotiations are ongoing, urging caution in media reporting. Despite this, South Korea’s presidential office confirmed on Saturday that the US has expressed strong interest in shipbuilding cooperation, with both sides committing to finding an agreement in the tariff discussions.
South Korea’s world-class shipbuilding capabilities are seen as a strategic advantage in these trade talks, aligning with the Trump administration’s objective of revitalizing American shipbuilding. Leading Korean shipbuilding conglomerates, HD Hyundai and Hanwha Group, have already been increasing their investments and forging partnerships with American companies in the sector.
For instance, HD Hyundai is collaborating with US shipyard operator Edison Chouest Offshore to construct medium-sized container vessels at an American shipyard by 2028. Additionally, Hanwha Philly Shipyard, acquired by Hanwha Ocean and Hanwha System last year, recently secured a contract to build a liquefied natural gas (LNG) carrier, marking a significant milestone as the first US-ordered, export-market-viable LNG carrier in nearly five decades.
