Major shipyard Daewoo Shipbuilding & Marine Engineering Co. said Monday that its unit has won a $120 million deal from a US shipyard to design two ships and supply materials.

Under the deal with NASSCO, a unit of General Dynamics, the Daewoo Ship Engineering Company, a wholly owned subsidiary of DSME, will design two container ships that can also house automobiles.

The vessels, 265 meters long and 35 meters wide each, will be able to carry 3,250 container boxes and 525 autos.

The ships will be delivered starting in the fourth quarter of 2019, and they will be operated on a Long Beach-Hawaii route, according to Daewoo Shipbuilding.

Daewoo Shipbuilding, faced with mounting losses amid a protracted industry slump, is seeking to sell its noncore assets and cut its workforce. (Yonhap)