Marcos Leads HD Hyundai Shipyard Launch in Subic Bay
SUBIC BAY FREEPORT — President Marcos Jr. took center stage at the official launch of HD Hyundai Heavy Industries Philippines, Inc., a pivotal moment signaling the revival of the country’s shipbuilding industry. This event marked the beginning of a new era for the maritime sector, highlighting the government’s commitment to industrial growth.
During the ceremony, President Marcos led the steel-cutting for the company’s first vessel to be constructed in the Philippines. This symbolic act represents the commencement of full-scale operations at the shipyard and the resurgence of local shipbuilding capabilities.
Reviving the Shipbuilding Industry Through Strategic Partnerships
HD Hyundai, a major South Korean conglomerate recognized globally as one of the largest shipbuilders, now stands as one of four principal tenants of the 310-hectare Agila Subic Shipyard. This shipyard, formerly known as the Hanjin shipyard before its bankruptcy in 2019, is undergoing a remarkable transformation. The company is utilizing 100 hectares of this expansive facility to focus on shipbuilding, repairs, and offshore wind platform construction.
Local leaders noted that Hyundai aims to produce up to 10 ships annually. Since beginning recruitment in September last year, the company has been preparing for full operations slated for January 2026. Officials reported that the project is expected to generate approximately 7,000 jobs, significantly boosting local employment.
Investment and Ownership Changes Fuel Growth
In 2022, the shipyard was acquired by Cerberus Capital Management, a private equity firm based in New York. The firm invested $40 million to revive operations and rebranded the facility as Agila Subic. This financial injection was crucial in restarting shipbuilding activities and modernizing the site.
Following President Marcos’ recent visit to the United States in July, the Philippine government announced an additional $250 million investment dedicated to upgrading the shipyard and enhancing related infrastructure. Community members said this move reflects a strong governmental push to attract foreign investment and revitalize local industries.
Government Support and Industry Outlook
The President’s presence at the launch underscored the administration’s unwavering support for foreign investors and the shipbuilding sector’s rebirth. Sources said HD Hyundai Group appreciates this backing as it aligns with their long-term vision of establishing a robust maritime industry in the Philippines.
The revitalization of the Agila Subic Shipyard is expected to position the country as a key player in the global shipbuilding market. With the combined efforts of government and private sectors, the industry is poised for sustained growth and innovation.
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