HD Hyundai Heavy Industries Wins Contract to Build Two New Frigates for Philippine Navy

Manila, December 29, 2025 — HD Hyundai Heavy Industries has secured a major naval shipbuilding contract with the Philippine Department of National Defense, reaffirming South Korea’s growing role as a key defense partner of the Philippines. Under the agreement, HHI will design and construct two 3,200-ton guided-missile frigates for the Philippine Navy, with deliveries scheduled for completion by 2029.

The contract, part of the Philippine Navy Frigate Second Acquisition Program, was formally signed on December 26, 2025, in Manila, according to an official HHI press release. The two new surface combatants will serve as a central pillar of the Navy’s Horizon 3 modernization phase, which aims to significantly enhance the country’s maritime defense and deterrence capabilities by the end of the decade.

Strengthening a Long-Standing Naval Partnership

The latest deal builds on nearly a decade of sustained cooperation between HHI and the Philippine defense establishment. Since 2016, the South Korean shipbuilder has delivered two modern frigates and two 3,200-ton class corvettes to the Philippine Navy, all of which are now in active service. These vessels have markedly improved the Navy’s ability to conduct maritime patrols, surface warfare, and joint operations across the country’s vast archipelagic waters.

In parallel, HHI is currently constructing six offshore patrol vessels (OPVs) for the Philippine Navy, underscoring the breadth of its involvement in Manila’s naval recapitalization program. Once all contracted ships are delivered, HHI will have supplied the Philippine Navy with a dozen major surface platforms, making it one of the Navy’s most important foreign industrial partners.

Frigates Aligned with Horizon 3 Objectives

Defense officials say the two new frigates are designed to complement existing frontline warships while introducing improved combat systems, sensors, and survivability features. With a displacement of around 3,200 tons, the ships are expected to provide a balanced mix of endurance, firepower, and multi-mission flexibility, enabling operations ranging from territorial defense and exclusive economic zone patrols to humanitarian assistance and disaster response.

The acquisition aligns with Horizon 3’s broader objective of transitioning the Armed Forces of the Philippines from an internal security focus toward a more credible external defense posture, particularly in the maritime domain.

Institutional Framework for Direct Procurement

The frigate program also reflects the enduring impact of the 2009 Implementation Agreement for the Procurement of Specific Defense Products between Korea and the Philippines, which established a legal and institutional basis for direct government-to-government and industry-to-government defense procurement. This framework has streamlined negotiations and facilitated repeated acquisitions from Korean defense firms.

Building on Proven Performance

The Philippine Navy’s confidence in HHI is rooted in operational experience. The two Jose Rizal-class frigates, ordered under the first frigate acquisition project in 2016 and delivered in 2020 and 2021, have since emerged as key assets in Philippine maritime operations. Their performance has played a decisive role in shaping follow-on procurement decisions.

With the signing of the second frigate contract, HHI further consolidates its position as a cornerstone of Philippine naval modernization. As regional maritime security challenges continue to evolve, the new frigates are expected to play a critical role in safeguarding national interests and strengthening the Navy’s ability to operate effectively in contested and high-tempo environments.