DSME joins with Lockheed on combat ship business

Daewoo Shipbuilding & Marine Engineering (DSME) inked a partnership deal with the American corporate defense behemoth Lockheed Martin to ramp up its combat ship business, the company said Friday.

The American partner owns high-performance weapons systems on ships, and DSME has experience delivering combat ships to the navies of different countries. The two will collaborate to co-develop high-quality combat ships at a lower price.

“The defense sector is a promising market, and we aim to show domestic shipbuilders a way around the global depression in the shipbuilding industry,” said Kim Deok-soo, senior vice president at DSME.

Joe North, vice president of littoral ships and systems at Lockheed visited Korea to sign the agreement.

The news boosted DSME shares 5.95 percent to 5,520 won ($4.80) on Friday.