HANJIN HEAVY INDUSTRIES

- Expected to secure new orders for LNG bunkering vessels and mid-to-large container ships, with MSRA signing for U.S. Navy MRO business imminent

- Financial structure strengthened through successful rights offering, paving the way for improved performance in the latter half of the year

- Eco-friendly Container Ship built by HJSC

HJ Shipbuilding & Construction (HJSC) is strengthening its outlook for the second half of the year, driven by new orders for eco-friendly, high-value-added ships and progress toward entering the MRO (Maintenance, Repair, and Overhaul) market.

In July, HJSC won an order from H-Line Shipping for an 18,000㎥ LNG bunkering vessel. This was followed in September by a contract with an Oceania-based shipowner for four 8,850 TEU eco-friendly container ships worth approximately KRW 640 billion. In both cases, shipowners cited their confidence in HJSC’s quality, on-time delivery, and technological expertise as key reasons for placing the orders.

The global shipbuilder is also preparing to enter the naval MRO business, building on its long-standing strengths in the special ship sector. On September 23, an inspection team from the U.S. Naval Sea Systems Command (NAVSEA) visited HJSC’s Yeongdo Shipyard to assess its capabilities as part of the qualification process for U.S. Navy MRO operations. The team conducted a detailed inspection of the shipyard’s facilities, ongoing large transport and high-speed landing craft projects, and its safety, quality control, and security systems, reportedly expressing strong satisfaction with HJSC’s MRO capabilities. Having already passed the document review and technical evaluation stages, the multinational shipbuilding company is expected to sign a Master Ship Repair Agreement (MSRA) with the U.S. government as early as November, pending final comprehensive assessment results. The MSRA serves as official recognition of a company’s qualifications and cooperative framework for performing MRO services for U.S. naval vessels.

- The ROK Navy LSF-II (High-speed Landing Craft) built by HJSC 

In addition, HJSC has formed an MRO cluster council with shipbuilding and equipment companies in Busan and Gyeongsangnam-do. The initiative aims to build an integrated supply chain for technology, manpower, and equipment necessary for MRO operations, creating a cooperative ecosystem that supports mutual growth and serves as a springboard for overseas expansion.

HJSC’s recent capital increase through a third-party rights offering, fully subscribed by its largest shareholder, is also expected to further improve its financial structure and support mid- to long-term competitiveness. The funds will be used to strengthen global competitiveness in eco-friendly, high-value shipbuilding, expand MRO and defense-related investments linked to the Korea–U.S. MASGA (Make American Shipbuilding Great Again) project, and reinforce the company’s capital base. The strong participation of its largest shareholder demonstrates market confidence in HJSC’s growth potential and is anticipated to positively impact both financial stability and corporate value. As of the first half of 2025, HJSC’s combined order backlog across shipbuilding and construction divisions stands at approximately KRW 8.8 trillion.

An HJSC official stated, “With synergies across all business areas and strong capital support from our major shareholder, we expect steady growth in the second half.” He continued, “All employees are united in strengthening our global competitiveness and enhancing the company’s value as a sustainable growth enterprise.”