Abstract: Practical ship design requires localized refinement and performance evaluation. This paper presents a reward-directed diffusion framework for localized hull optimization. Parametric masking during dataset generation restricts geometric changes to selected variables, including the bulbous bow and forebody, while preserving full-hull continuity. Surrogate-assisted sequential Monte Carlo sampling targets reduced predicted calm-water resistance, with stability retained through training data and displacement matched during screening. An automated viscous free-surface CFD pipeline, validated against measurements for two benchmark container ships, evaluates a generated variant and GenHull E, a hull refined by a naval architect within the same representation. At matched KRISO Container Ship (KCS) displacement, the generated variant has comparable total resistance at $F_n=0.195$ but 45-50% higher resistance at $F_n=0.250$ and $0.260$, missed by empirical screening. GenHull E achieves 6-8% lower total resistance up to $F_n=0.240$ but higher resistance above $F_n=0.250$ as opposing friction and pressure trends reverse the gains. Aggregating resistance across this crossover can conceal tradeoffs that emerge when friction and pressure components are evaluated separately. The assessment reveals an inability to represent a faired bulbous bow and a reward lacking viscous pressure and stability terms. These findings show how high-fidelity assessment informs improved representations and objectives for physically realizable generative designs.
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