HD Hyundai Heavy Industries and HD Hyundai Mipo completed their merger on the 1st and officially launched as 'Integrated HD Hyundai Heavy Industries. The company plans to become the world's top shipbuilder by reaching 37 trillion won in sales by 2035.
The new company expects this merger to improve its competitiveness in projects like the 'MASGA Project,' a shipbuilding partnership between Korea and the U.S., as well as in the defense sector. Earlier in August, the parent company, HD Korea Shipbuilding & Offshore Engineering, and its two subsidiaries held meetings to approve the merger, which is considered the largest business restructuring since HD Korea Shipbuilding’s formation.
Before the merger, HD Hyundai Heavy Industries was known for building warships and exporting them, while HD Hyundai Mipo focused on medium-sized vessels. The goal of the merger is to combine their strengths—warship expertise from HD Hyundai Heavy Industries and shipbuilding facilities from HD Hyundai Mipo. This will help increase defense sector sales to 10 trillion won by 2035, a tenfold rise compared to last year.
The new company is also focusing on eco-friendly technologies. By combining the research and development (R&D) of both companies, it plans to use these new technologies in both medium and large ships, staying ahead of the competition and aiming for future market growth. They also plan to expand into new markets, including special-purpose ships like icebreakers, which are becoming more in demand due to Arctic development.
Executive Statement
According to HD Hyundai Chairman Chung Ki-sun, this marks the beginning of a new history for Korea’s shipbuilding industry. If the passion of their employees is combined with the technological capabilities and expertise of the two companies, new innovations will begin.
