Significant increase from last year’s target, adjusted for market conditions

HD Korea Shipbuilding & Offshore Engineering announced on the 3rd that it has set its annual order target for the shipbuilding and offshore sector at $18.5 billion for this year. This new target represents a 33.7% increase from last year’s order target of $13.5 billion, although it is 12.1% lower than the actual order amount of $20.56 billion (provisional) achieved last year. Despite forecasts predicting a slowdown in global ship orders this year, the company’s upward adjustment of its order target reflects its confidence in the market.

The order targets for the shipbuilding subsidiaries are set as follows: $9.751 billion for HD Hyundai Heavy Industries, $3.8 billion for HD Hyundai Mipo, and $4.5 billion for HD Hyundai Samho. These targets are part of the company’s strategic plan to navigate the anticipated market conditions.

According to the “2025 Outlook for the Shipping and Shipbuilding Industry” report published by the Overseas Economic Research Institute of the Export-Import Bank of Korea, the global new ship order volume for this year is expected to decrease by 28.8% to 42 million CGT compared to 59 million CGT last year. This significant drop underscores the challenging environment that shipbuilders are facing.

An official from HD Korea Shipbuilding & Offshore Engineering stated, “We set this year’s order target considering the market situation where eco-friendly ship orders continue,” adding, “As we have secured a stable order volume, we plan to continue a selective order strategy focused on profitability.” This approach highlights the company’s commitment to sustainability and financial prudence.

Source: Businesskorea