The South Korean Defense Procurement Authority (DAPA) has officially announced the launch of a tender for the development and supply of a new generation destroyer to the national Navy. At the end of last week, the agency sent a request for proposals (RFP) to Hyundai Heavy Industries and Hanwha Ocean. Naval News calls this a crucial step forward after more than two years of stalling.
Both companies that received the RFP request are participants in the competitive selection for the detailed design and construction of the lead ship, which is to become the first fully South Korean destroyer. DAPA will hold a briefing for them on Tuesday, March 31, and proposals will be accepted until May 15. After evaluating the applications, DAPA will select the winner. This is expected to happen by July.
KDDX New Generation Destroyer Model (HHI, South Korea)
Naval News
According to Naval News, the KDDX program provides for the construction of six destroyers, each with a displacement exceeding 6,000 tons. The cost of development and supply is estimated at 7.04 trillion Korean won (about 4.9 billion US dollars). The detailed design and construction of the lead ship alone will cost 882.1 billion won (approximately $615 million). DAPA plans to consistently identify contractors for all six ships. The transfer of the lead destroyer is expected at the end of 2032.
As previously reported, the KDDX program was suspended for more than two and a half years due to a fierce dispute between two major South Korean shipbuilding companies over the method of selecting a contractor. While Hyundai Heavy Industries, which was involved in the basic design, insisted on entering into a contract without a tender in accordance with the established rules, Hanwha Ocean insisted on competitive bidding, citing the scandal involving the leakage of military secrets related to the KDDX program from Hyundai Heavy Industries.
The impasse was resolved in December 2025, when the Defense Procurement Acceleration Committee (DAAPC) voted to hold a competitive selection. Then, on February 11, the DAAPC held a preliminary briefing, and then approved the construction plan for the lead ship, after which it became possible to announce the tender.
The outcome of the competition may depend on the safety penalty imposed on Hyundai Heavy Industries. The company received a 1.8-point rating reduction after its employees were found guilty of violating the Law on the Protection of Military Secrets in connection with the KDDX program.
Currently, DAPA is considering the application of an additional fine of 1.2 points based on a separate decision of the Court of Appeal, which was finally approved in the spring. When evaluating proposals in the field of defense procurement, where the results are often determined by tenths of a point, such penalties can be crucial, since both companies are the main manufacturers of ships for the Republic of Korea Navy. Hyundai Heavy Industries considers any additional fine to be a double penalty and has made it clear that it may file a lawsuit if this happens. The DAPA representative noted that the final decision on penalties for violating safety rules will be communicated to bidders at the stage of evaluating proposals.
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