Korean Shipbuilding Faces Tough Future
According to a May 12 report from The Korean Times, Korean Shipbuilding companies face a tough future. In the 2000s, the shipbuilding business was a cash cow for Korea Inc., which accommodates many of the world's foremost players ― Samsung Heavy Industries, Hyundai Heavy Industries, STX Heavy Industries and Daewoo Shipbuilding & Marine Engineering. The segment was hit hard by the global financial distress. Yearly orders of new ships shrank to about 600 in 2009 from 5,000 in 2007. Although the major shipyards have recovered somewhat this year they will face difficult times down the road. Observers said demand for new vessels is not likely to rebound to more than 2,000 any time soon. Ships do not wear out overnight and the resumption of overall demand will be limited.
Rickmers Establishes Korea Subsidiary
Rickmers-Linie, the Hamburg-based specialist for breakbulk, heavylift and project cargo, is expanding its network of own subsidiaries in Asia and will establish a new subsidiary, Rickmers (Korea) Inc, in Seoul effective November 1, 2007. “With its export oriented industry and as a significant location for shipping and related industries, Korea is one of our key markets in the Far East. Thus it was a logical decision to establish our own office in Seoul. The new subsidiary will primarily take over the role of Rickmers-Linie’s agent in Korea and moreover will be the representative office for Rickmers Group in Korea,” explained Gerhard Janssen, General Manager Marketing & Sales at Rickmers-Linie.
