Hyundai Heavy Industries (HHI) promoted CEO Jae-sung LEE as new chairman

Hyundai Heavy Industries (HHI), the world's top-tier shipyard, said Thursday that it promoted Lee Jae-sung, from CEO to chairman.

This is part of a management reshuffle designed to defy concerns over corporate profitability amid the continued market downturn.

HHI said the promotion was mostly aimed at guaranteeing management independency.

The position became vacant after former chairman Min Kye-shik left the shipbuilder in December 2011.

President Kim Oe-hyun will be in charge of shipbuilding, marine and plant businesses. Kim Jeong-rae, will move to take charge of the firm's engine, electronics, green energy and construction equipment businesses, according to the statement.

"The reshuffle is aimed at increasing the agility of the company to react to change in markets and weather market downturns by introducing a responsible management system," an HHI official said.

The global shipbuilding industry is seeing signs of gradual improvement thanks to increasing orders from major ship-owners amid economic recovery in the United States and Europe.

But HHI officials say the time isn't ripe to expect imminent profit hikes in coming quarters because the market outlook remains negative.

yckim@koreatimes.co.k

Hyundai Engineering & Construction's cumulative overseas orders top $100 Billion Dollars

HDEC workers leave for Antarctic from New Zealand in mid-November to complete South Korea's second research station in the frozen continent by early next year. (Yonhap file photo)

Hyundai Engineering and Construction Co. (HDEC), South Korea's largest builder, said Sunday that its cumulative overseas orders have topped US$100 billion, 48 years after its first inroad into the offshore construction market.

HDEC, now affiliated with the Hyundai Motor Group, said it recently won a $1.4 billion contract to build an oil refinery plant in Latin America, raising the amount of its cumulative overseas orders to $101.05 billion (107 trillion won).

The milestone has been achieved 48 years after the contractor obtained an order to build an expressway in Thailand in 1965 in the company's first overseas project, company officials said.

HDEC has since carried out 780 more construction projects in 55 countries worldwide.

HDEC's aggregate volume of offshore orders accounts for approximately 17 percent of the South Korean construction sector's cumulative overseas orders of $597 billion, they noted.

They added 54 percent of HDEC's overseas orders came from the Middle East, with Asia accounting for 32 percent.

(Yonhap)

Hyundai Heavy Launches New 2,300 metric tons Stealth Frigate – 3D anti-aircraft, anti-ship missiles; OK for Philippine Navy?

Hyundai Heavy Industries (HHI), the world's biggest shipbuilder, held a launch ceremony for its fifth frigate, ROKS Jeonbuk. The launch ceremony was attended by the Chief of Naval Operations Admiral Mr. Hwang Ki-chul, governor of Northern Jeolla Province Mr. Kim Wan-ju, Hyundai Heavy's president & CEO Mr. Lee Jai-seong and other government and military officials in Ulsan shipyard. Photo: navyrecognition.com

Shipbuilder Hyundai Heavy Industries (HHI) held a launch ceremony today for its fifth frigate, ROKS Jeonbuk.

The launch ceremony was attended by the Chief of Naval Operations Admiral Hwang Ki-chul, governor of Northern Jeolla Province Kim Wan-ju, Hyundai Heavy's president and CEO Lee Jai-seong and other government and military officials in Ulsan shipyard.

The Jeonbuk frigate has greatly improved capabilities with its weapon and sensors including new 3-D radar, antiaircraft and antiship missiles, and sonar and torpedo acoustic counter measures. In addition, the vessel uses stealth technology to minimize the exposure to electromagnetic waves. More than 90% of major equipment is locally developed and sourced.

The 2,300-metric-ton frigate, measuring 114 meters long, 14 wide and 25 deep, can sail at a maximum speed of 30 knots with a crew of 120. The frigate will be delivered to the Korean Navy in December 2014.

The Ulsan, South Korea-based shipbuilder delivered its third frigate ROKS Incheon in January this year and is also currently building its fourth frigate ROKS Gyeonggi scheduled to be delivered in October 2014.

Since constructing and delivering the first Korean-built frigate ROKS Ulsan in 1980, Hyundai Heavy has grown as a leading naval shipbuilder by delivering 63 naval ships including the first and the third Korean Aegis destroyers, three KDX-II destroyers, five frigates, three submarines and 29 patrol salvage ships.

Hyundai Heavy have shown its interest to compete with other global bidders for the recent invitation from the Philippines for 2 new frigates.

english.hhi.co.kr