The vessel is the Yun Bong Gil Ham, which weighs 1,800 tons, is 214 feet long, and has a top speed of 20 knots.
The ship is the fifth 214-class submarine of the country's navy.
According to the Department of National Defense, the ship features an air independent propulsion system that charges the submarine's storage battery without air, enabling it to stay submerged for two weeks.
Hyundai Heavy Industries will transfer the under-construction submarine to the navy in the second half of next year. Nine months of tests and evaluations will follow, culminating in the vessel gaining operational status, Korean officials said.
The country currently operates 10 209-class and 214-class submarines. The first 209-class vessel, the Jang Bo Go Ham, was taken over from Germany in 1992.