Hyundai Heavy Industries Establishes Military Logistics Support Center in the Philippines... Full-Scale Entry into MRO

Increasing Operational Rate and Durability of Korean Warships
Expecting Enhanced Trust and Competitiveness in K-Defense Industry

The latest escort ship, Hoselijal. Photo by Hyundai Heavy Industries Group

[Asia Economy Reporter Choi Seoyoon] Hyundai Heavy Industries has taken a full-scale step into the overseas naval vessel maintenance support service business for the first time in Korea.

On the 17th, Hyundai Heavy Industries announced that it established a Logistics Support Center (Lifetime Support Service Center·LSSC) at the Subic naval base in the Philippines and held an opening ceremony locally.

The opening ceremony was attended by key figures from both countries, including Gakal, Deputy Minister of Defense of the Philippines, Valencia, Acting Chief of Naval Staff of the Philippine Navy, Nam Sanghoon, Head of Hyundai Heavy Industries' Special Ship Business Division, and Kang Hwansuk, Deputy Administrator of the Defense Acquisition Program Administration.

The newly opened Logistics Support Center at the Subic naval base will provide Maintenance, Repair & Overhaul (MRO) support for two Philippine frigates that Hyundai Heavy Industries won orders for in 2016 and delivered between 2020 and 2021. Hyundai Heavy Industries signed a related contract with the Philippine Department of National Defense in June this year.

The Logistics Support Center consists of a maintenance parts storage warehouse and maintenance training facilities to ensure timely supply and efficient management of parts for vessel maintenance and repair. It will also operate various training programs for logistics and maintenance personnel of the Philippine Navy.

Hyundai Heavy Industries plans to provide prompt and substantial naval vessel maintenance support services tailored to on-site demands, centered on the Philippine Logistics Support Center.

Leading overseas naval vessel exports, Hyundai Heavy Industries has established the first overseas MRO service center in the naval vessel sector among Korea’s defense industry, thereby advancing as a global comprehensive solution company covering naval vessel design, construction, and life cycle management.

Unlike single weapon systems, naval vessels are complex weapon systems equipped with various combat and weapon systems and equipment. Ensuring stable performance throughout the entire life cycle is a key factor for defense export competitiveness and business scalability.

Against this backdrop, Hyundai Heavy Industries’ entry into the Philippine MRO business is evaluated as securing both the technological prowess and trust of K-defense in the naval vessel sector, and it is expected to continuously drive defense cooperation and defense exports between Korea and the Philippines in the future.

Nam Sanghoon, Head of Hyundai Heavy Industries' Special Ship Business Division, said at the opening ceremony, “The Logistics Support Center at the Subic base, established through trust and cooperation between Korea and the Philippines, will be a cornerstone for enhancing the maintenance capabilities of the Philippine Navy.” He added, “Hyundai Heavy Industries will continue to participate in the Philippine military modernization program together with the Defense Acquisition Program Administration to contribute to raising the quality assurance and trust of K-defense.”

Meanwhile, Hyundai Heavy Industries has built a solid trust relationship with the Philippine Navy by successfully delivering two 2,600-ton frigates in 2020 and 2021, and additionally securing orders for two 3,200-ton patrol vessels in 2021 and six 2,400-ton offshore patrol vessels (OPVs) in 2022.

This content was produced with the assistance of AI translation services.