Trump Leans on South Korea to Revive U.S. Shipbuilding and Counter China's Maritime Rise

President Donald Trump announced on Thursday that the U.S. will share closely held nuclear submarine technology with South Korea, a move that signals a significant shift in defense cooperation between the two allies. The decision, revealed via social media after Trump's meeting with South Korean President Lee Jae Myung, allows Seoul to build nuclear-powered submarines-a capability previously restricted to a handful of nations. Trump specified that the submarines would be constructed at the Philly Shipyard, acquired last year by South Korea's Hanwha Group, though details on cost and scale remain unclear, according to a PBS NewsHour report.

The announcement comes amid heightened regional tensions. North Korea recently unveiled a nuclear-powered submarine under construction and conducted cruise missile tests during Trump's visit, underscoring Pyongyang's advancing military capabilities. South Korea has long sought nuclear propulsion technology to enhance its naval forces, with President Lee clarifying that the request pertains to fuel for conventional submarines, not weapons, according to TBS News. The move also aligns with broader U.S.-South Korea efforts to strengthen defense ties, including a $150 billion investment in American shipbuilding by Seoul, part of a larger $350 billion pledge to offset U.S. tariff cuts, according to an American Bazaar report.

The collaboration extends beyond submarines. South Korean shipbuilder HD Hyundai Heavy Industries and U.S. firm Huntington Ingalls Industries (HII) signed a memorandum of agreement to jointly build Navy auxiliary ships and explore U.S. shipyard investments. HHI, the largest U.S. military shipbuilder, and HD Hyundai, a global leader in commercial and naval vessels, aim to address America's domestic shipbuilding challenges, including capacity constraints and workforce shortages. This partnership is part of South Korea's broader "Make American Shipbuilding Great Again" initiative, which seeks to revitalize U.S. industrial capabilities while deepening economic ties, as reported in a Politico article.

Geopolitical dynamics further contextualize the developments. South Korea's 2025 APEC chairmanship positions it as a mediator between the U.S. and China, with Trump and Chinese President Xi Jinping set to meet during the summit. Beijing's recent sanctions on Hanwha's U.S. subsidiaries and its control over 71% of global shipbuilding underscore the strategic stakes. Experts warn that South Korea's pursuit of nuclear propulsion technology raises proliferation concerns, given its existing restrictions on reprocessing spent fuel without U.S. approval, as TBS News has noted.

While Pentagon officials have not yet commented on the tech transfer, the move reflects Trump's emphasis on leveraging foreign expertise to bolster American industries. The administration is also negotiating a complex trade agreement with South Korea, with final details pending due to disputes over investment structures, reported by Yeni Safak. Meanwhile, the U.S. seeks to counter China's maritime dominance, which threatens global supply chains and military logistics in potential crises, as the Politico article noted.