U.S. President Donald Trump directed on the 13th (local time) that foreign shipbuilders investing in the United States be allowed to build two U.S. Navy vessels in their home countries.

The types of vessels permitted to be built in foreign shipbuilders' home countries were limited to three categories: surface combatants, multi-product replenishment oilers, and roll-on/roll-off (RORO) ships.

In a memorandum signed that day, President Trump announced that the eligible entities are foreign shipbuilders that have "simultaneously constructed a new shipyard in the United States or acquired ownership or a majority stake in an existing U.S. shipyard."

Hanwha, which acquired the Philly Shipyard in Philadelphia, U.S., could be interpreted as meeting the conditions mentioned by President Trump.

President Trump stated, "All vessels after the initial two must be built in U.S. shipyards."

President Trump also attached conditions requiring them to "hire and train a U.S. citizen workforce to work in the U.S. shipyard," "license and transfer proprietary shipbuilding techniques and technologies used in the home country's parent shipyard to the U.S. shipyard," and utilize a "U.S.-based supply chain for all ship construction and maintenance and repair performed in the U.S. shipyard" (after the first two vessels).

President Trump explained that this measure follows the "Finland model" approach established with Finland last October regarding the construction of medium icebreakers.

The strategy is to quickly secure initial vessels overseas while bringing the technology and production methods of foreign shipyards to U.S. shipyards to restore domestic competitiveness.

President Trump stated that the "so-called Finland model will be applied to up to three ship classes" and instructed the Secretary of Defense to submit a vessel procurement plan within 90 days of the memorandum taking effect.

One of the three ship classes is surface combatants capable of performing anti-submarine warfare, surface warfare, and fleet escort missions.

Specific procurement methods were directed to be consulted with the Secretary of the Navy.

The other two classes are naval multi-product replenishment oilers and roll-on/roll-off ships.

For these two types of non-combatant vessels for the Navy, President Trump instructed the submission of a plan to "direct financial resources pledged under various trade agreements led by the Secretary of Commerce and the U.S. Trade Representative (USTR) on behalf of the President toward investments in the U.S. maritime industrial base."

This expression aligns with MASGA, a USD 150 billion shipbuilding cooperation project underway in accordance with the South Korea-U.S. trade agreement.

President Trump emphasized that when the Navy places an order for vessels, it "must not request repetitive design changes to a mature original design."

This is interpreted as taking into account criticisms that frequent requests for design changes by working-level personnel in the U.S. military's vessel procurement process have led to procurement delays.

(Photo: Yonhap News)