The project for the detailed design and construction of the first ship—as well as the first batch (ships 1–3)—of South Korea’s Next-Generation Destroyer (KDDX) program, which had been delayed by approximately two years, has finally moved forward.
On July 31, Hanwha Ocean officially signed the prime contract with South Korea’s Defense Acquisition Program Administration (DAPA) for the detailed design of the KDDX and the construction of the first ship.
A few days ago, Hanwha Ocean was selected as the preferred bidder for South Korea’s KDDX project (Phase 1) by a narrow margin of 0.5867 points, while HD Hyundai Heavy Industries lost out after incurring a 1.2-point penalty regarding safety standards.
Subsequently, Hanwha Ocean engaged in a month of detailed consultations with the DAPA and the Republic of Korea Navy regarding project specifications, contract terms, construction costs, and other particulars, ultimately leading to the signing of the contract.
Under the contract, Hanwha Ocean will immediately commence detailed design and construction, aiming for the first ship to enter service in 2032.
Hanwha Ocean stated that the first ship will incorporate various advanced technologies to meet the demands of rapidly evolving modern warfare; furthermore, by integrating “automation technology for crew reduction” and “manned-unmanned teaming (MUM-T) systems,” the company aims to design a warship capable of achieving maximum operational effectiveness with a smaller crew.
The KDDX project is a key national initiative for South Korea, with a total cost of approximately 7.8 trillion won (roughly US$5.468 billion at current exchange rates); the country plans to deploy six 6,000-ton class destroyers between 2032 and 2036. South Korean media reports indicate that the lead ship will feature nine key domestically produced systems, utilizing indigenous technology for everything from the hull to the weaponry; upon completion, South Korea will become the sixth nation in the world to achieve full domestic production of destroyers.
It is worth noting that, under the original plan for South Korea’s KDDX project, the basic design for the first three ships—led by HD Hyundai Heavy Industries—was to be completed by the end of 2023, with the detailed design and construction of the lead ship scheduled to commence in 2024.
In keeping with the standard practice for South Korean defense projects, the company responsible for the basic design would typically be awarded the contract for the detailed design and the construction of the lead ship; consequently, HD Hyundai Heavy Industries was the natural frontrunner. However, this move faced strong objections and challenges from Hanwha Ocean, sparking fierce competition between the two companies.
In December 2025, South Korean President Lee Jae-myung highlighted the fact that an employee of HD Hyundai Heavy Industries had previously been convicted of leaking military secrets. Consequently, the DAPA switched the procurement method for the detailed design and construction of the first three KDDX-class vessels (ships 1–3) to open competitive bidding—a first in the history of South Korean defense projects. Ultimately, Hanwha Ocean narrowly won the contract by a margin of just 0.5867 points.
According to South Korean media reports, the second batch of the KDDX project (ships 4–6) is currently in the conceptual design bidding phase. The initial tender failed because HD Hyundai Heavy Industries opted not to participate, leaving Hanwha Ocean as the sole bidder; subsequently, HD Hyundai Heavy Industries joined the second round of bidding, which is currently undergoing evaluation.