Hanwha Ocean and POSCO have signed a strategic memorandum of understanding to co-develop giga-class steel, a revolutionary material tailored for next-generation naval platforms. The partnership seeks to strengthen South Korea’s shipbuilding capabilities by producing steel that is lighter, stronger, and more resilient than current standards.
Hanwha Ocean, a major supplier of submarines and destroyers to the Republic of Korea Navy, will apply the new material in upcoming ship designs, while POSCO, a global leader in high-grade steel production, will focus on creating specialized alloys and welding processes. The joint R&D program spans six areas of cooperation, targeting completion within two to three years, according to Business Korea.
Giga-class steel, said to be up to four times stronger than traditional naval steel, offers critical advantages for both conventional and unmanned warships. The material’s enhanced strength-to-weight ratio is expected to improve speed, fuel efficiency, and damage tolerance — key factors for next-generation combat and support vessels.
The initiative reflects South Korea’s ambition to lead innovation in naval manufacturing materials amid growing global competition. The United States and Japan are also investing in similar advancements — Austal USA recently began work on a new submarine module facility for the Columbia- and Virginia-class programs, while Tsuneishi Shipbuilding launched a hydrogen dual-fuel tugboat using eco-friendly steel. Domestically, South Korea continues to strengthen its shipbuilding output, with HD Hyundai Heavy Industries planning multiple Aegis destroyers annually for the U.S. Navy and pursuing the indigenous KDDX destroyer program, targeting delivery of six advanced vessels by 2030.
