Trump Announces Nuclear Submarine Tech Deal with South Korea

President Donald Trump announced on March 15, 2024, that the United States will share sensitive nuclear submarine propulsion technology with South Korea. This significant diplomatic move comes after the Biden administration previously declined to provide the technology to its key Indo-Pacific ally. Trump made the announcement via a social media post, stating that South Korea would construct its nuclear-powered submarines at the Philadelphia Shipyard in the United States.

In his post on Truth Social, Trump remarked, “Shipbuilding in our Country will soon be making a BIG COMEBACK.” This deal marks a pivotal moment in US-South Korea relations, particularly in the context of military collaboration. Hanwha, a South Korean defense contractor, acquired the Philadelphia Shipyard from a Norwegian investment group last year, signaling its intent to enhance business with the US Navy.

Financial Implications and Strategic Goals

In a separate statement, Trump indicated that South Korea has agreed to pay $350 billion to lower tariffs imposed by the White House. This financial arrangement underscores the growing economic ties between the two nations and highlights South Korea’s commitment to securing advanced military technology.

The nuclear propulsion technology, which is closely guarded by the United States, the United Kingdom, and Australia under the AUKUS security pact, is highly sought after. Previously, South Korea had sought access to this technology but was rebuffed by the Biden administration, which may have misinterpreted the request as an interest in developing nuclear weapons rather than acquiring fuel for submarines.

South Korean President Lee Jae Myung emphasized that possessing nuclear-powered submarines would enhance South Korea’s ability to contribute to security in the region. This aligns with the rationale that US and UK officials provided when supporting Australia’s acquisition of nuclear-powered submarines in 2021.

Challenges Ahead for Shipbuilding Initiatives

The prospect of constructing submarines in the United States raises numerous questions for the American maritime industrial sector. Historically, the Philadelphia Shipyard has focused on manufacturing commercial vessels. Under Hanwha’s ownership, there is a clear intention to pursue contracts with the US Navy, yet establishing a facility capable of building nuclear submarines will require significant time and resources.

The task of developing such capabilities is daunting, with estimates suggesting that Australia may take until the 2030s and 2040s to fully realize its submarine program. Hanwha will need to overcome substantial challenges, particularly in attracting a skilled workforce necessary for submarine construction. The US Navy has initiated a multi-year marketing campaign aimed at recruiting workers for the maritime industrial base, but it continues to struggle to meet its staffing goals amid high attrition rates.

As the dynamics of military collaboration between the United States and South Korea evolve, the implications of this deal will resonate through both nations’ defense strategies, potentially reshaping security in the Indo-Pacific region.