Greece, the United States and South Korea have signed a €1.35 billion trilateral agreement to transform the Elefsina shipyards into a naval defense and submarine construction hub for the Eastern Mediterranean, with the deal expected to generate up to 10,000 jobs and contribute 0.8 percent annually to Greece's GDP over the next five to seven years.
The agreement, branded "Project Trident," was signed at the U.S. ambassadorial residence in Athens between Greek shipyard operator ONEX and South Korean shipbuilder Hanwha Ocean. It unfolds in three phases: €150 million to expand dry docks, €200 million to upgrade port infrastructure, and a final €1 billion phase to install automated production lines capable of supporting advanced naval programs including submarine construction.
The deal mandates a 70 percent domestic value-added rate, ensuring significant participation from Greece's local industrial supply chain.
U.S. Ambassador Kimberly Guilfoyle said the modernized facility would support the Hellenic Navy, the U.S. Sixth Fleet and regional NATO forces across the Mediterranean and Black Sea. Greek Deputy Foreign Minister Haris Theocharis said the pact combines American defense technology, South Korean manufacturing expertise and Greek industrial capacity.
ONEX Chairman Panos Xenokostas said the investment repositions Greece from a buyer of defense systems to a producer of naval capabilities.
Mr. Xenokostas called it a strategic shift with implications beyond the commercial relationship.
The Elefsina deal is the largest single defense-industrial investment in Greek history and comes as Athens is simultaneously expanding its naval shipbuilding capacity at Skaramagas — where a €100 million modernization is under way — and following the Salamis Shipyards' recent debut as a hull block manufacturer for the French Navy.