Hanwha Shipping is set to build the first liquefied natural gas (LNG) carriers in the United States, following a U.S. decision aiming to impose taxes on ships built in China.
The U.S. Trade Representative (USTR) unveiled a proposal on that would impose fees on Chinese-built vessels entering U.S. ports after a six-month grace period. The plan also mandates that LNG carriers transporting U.S. fuel be both flagged and constructed within the country.
Beginning April 17, 2028, at least 1% of all LNG intended for exportation by vessel in a calendar year must be exported by a US-built vessel. This percentage increases annually, plateauing at 15% in April 2047.
As reported by Bloomberg, Ryan Lynch, vice president of commercial shipping at Hanwha Shipping, said that the proposal requires the creation of five to seven U.S.-flagged LNG carriers by the end of the decade.
Hanwha Systems and Hanwha Ocean announced the successful completion of their $100 million acquisition of Philly Shipyard in December 2024. In September 2024, Hanwha had received Committee on Foreign Investment in the United States (CFIUS) approval. With all the appropriate approvals secured and the financial transaction completed, the newly named “Hanwha Philly Shipyard” officially began Hanwha’s shipbuilding operations in the U.S. at that time.
