A composite image shows a frigate built by HD Hyundai Heavy Industries, left, and a submarine built by Hanwha Ocean. The image was generated using artificial intelligence. Photo by Asia Today
July 23 (Asia Today) -- South Korea's two leading naval shipbuilders are pursuing separate surface ship and submarine opportunities as Saudi Arabia considers a major naval modernization program estimated at 8 trillion won, or about $5.4 billion.
HD Hyundai Heavy Industries is expected to focus on a proposed frigate program while Hanwha Ocean concentrates on potential submarine orders, according to South Korean shipbuilding industry officials.
The arrangement could allow the companies to avoid competing against each other and instead direct their resources toward European defense contractors seeking the same Saudi contracts.
Industry officials say Saudi Arabia is considering the acquisition of five frigates and four to six submarines. The frigate portion is estimated at about 3 trillion won, or $2 billion, while the submarine program could be worth approximately 5 trillion won, or $3.4 billion.
