South Korean shipbuilder Hanwha Ocean Co. has secured a 680 billion-won ($505.17 million) contract to build a frigate for the Royal Thai Navy, according to Thai media reports and industry officials on Tuesday.

The procurement contract covers value-added tax, other applicable taxes, transport, and all related expenses, Thai media reported.

Industry officials said the deal could eventually grow to approximately 4 trillion won if the South Korean shipbuilder wins follow-up orders from Thailand.

This is not Hanwha Ocean's first defense export to the country. In 2013, the company secured a contract to deliver a 3,600-ton frigate to Thailand and successfully completed the project in 2018, establishing a track record in the Thai naval procurement market. That earlier vessel, delivered as the HTMS Bhumibol Adulyadej, remains a reference point for Seoul's naval export ambitions in Southeast Asia.

Hanwha Ocean is one of South Korea's major shipbuilders and has been expanding its presence in the naval and defense shipbuilding sector. The company, formerly known as Daewoo Shipbuilding & Marine Engineering, was acquired by Hanwha Group in 2023 as the conglomerate moved to build a defense and ocean technology business spanning naval vessels, submarines, and energy systems. The push builds on South Korea's broader position as a leading global shipbuilding nation, where defense exports have become an increasingly important growth driver as the government promotes weapons sales abroad.

The latest order from Thailand adds to a series of export deals secured by South Korean defense and shipbuilding firms in Southeast Asia, a region where navies have been modernizing their fleets. Korean shipbuilders have competed in the region against established naval exporters, with follow-on maintenance, training, and technology-transfer arrangements often influencing repeat orders — a factor that could bear on whether the projected 4 trillion won in additional Thai contracts materializes.

The frigate contract underscores continued demand in the region for Korean-built naval vessels and reflects Hanwha Ocean's efforts to grow its defense business alongside its commercial shipbuilding operations.

Source: Korea Herald Business