Hanwha Ocean has emerged as the preferred bidder to construct the lead ship for South Korea’s 7.8-trillion-won ($5 billion) Korea Destroyer Next Generation (KDDX) program, ending a two-year procurement dispute over the naval effort.
Seoul’s Defense Acquisition Program Administration (DAPA) confirmed the selection after rejecting an objection from rival HD Hyundai Heavy Industries. This was in response to legal disputes stemming from the conviction of its employees for leaking Hanwha’s KDDX conceptual design.
Although HD Hyundai received a higher technical score, DAPA applied a 1.2-point security penalty tied to the unauthorized disclosure, giving Hanwha a narrow winning margin of about 0.59 points, local media reported.
Hanwha and DAPA will now negotiate the final contract, which the agency aims to sign by the end of next month.
“We reviewed (HD Hyundai’s) objection and concluded that there were no irregularities in the evaluation,” Yonhap News Agency quoted a DAPA official as saying. “We have notified each company of the final decision and plan to proceed with negotiations with the preferred bidder.”
The agency also pledged to advance the project “in a fair and lawful manner” without disrupting the delivery timeline, while Hanwha emphasized it will work to keep the delayed program on schedule.
The KDDX Program
South Korea’s KDDX-class destroyer initiative will deliver six domestically developed destroyers, with the lead vessel scheduled for delivery by the end of 2032.
Follow-on ships are expected to enter production beginning in 2028, with deliveries to be finalized by 2036.
Each KDDX surface combatant will measure about 155 meters (509 feet) long.
It is expected to be fitted with two gas turbine generators and three diesel generators, as well as a 25-megawatt electric motor.
Weapons planned for the warship include Hyunmoo land-attack cruise missiles, SSM-700K anti-ship missiles, lightweight anti-submarine torpedoes, naval guns, and close-in weapon systems.
