HD Hyundai wades into naval defense sector with new research institute

Industry

Published: 17 Jul. 2024, 15:07 Updated: 17 Jul. 2024, 15:43

HD Hyundai wades into naval defense sector with new research institute

HD Hyundai Vice Chairman Chung Ki-sun speaks during an opening ceremony of a research institute dedicated to advancing naval technology in Pangyo, Gyeonggi, on Wednesday. [HD HYUNDAI]

HD Hyundai Heavy Industries opened a research institute dedicated to advancing naval technology in Pangyo, Gyeonggi, on Wednesday, with the aim of capturing a share of the lucrative naval defense sector.

The institute is an expansion of an entity under the naval business division of HD Hyundai, a subsidiary of HD Korea Shipbuilding & Offshore Engineering (HD KSOE). It will operate under HD KSOE’s Future Technology Research Institute, which oversees HD Hyundai’s research and development (R&D) in future technologies and applies them to the group’s major business sectors.

With the launch of the new institute, HD Hyundai aims to establish a technological convergence system for the early acquisition of essential future naval technologies to apply to the development of next-generation ships and the export of new models in the rapidly evolving global naval market.

Approximately 1,100 new naval ships worth 113 trillion won ($81.8 billion) are expected to be ordered over the next decade, according to a report from British military consulting firm Janes.

The institute will focus on advancing three naval business strategies — naval electrification, unmanned naval ship development, and enhanced competitiveness in exported naval ships.

The opening ceremony held on Wednesday was attended by HD Hyundai Vice Chairman Chung Ki-sun, HD KSOE CEO Kim Sung-joon, Joo Won-ho, head of HD HHI’s naval and special ship business unit, and Chang Kwang-pil, head of the Future Technology Research Institute.

“The paradigm of the special ship market is shifting significantly toward smart naval ships integrating advanced digital technologies,” Chung said. “Let’s make HD Hyundai Naval Ship Research Institute a cradle of the world’s best naval technologies and contribute to Korea's rise as one of the top four global defense industry powers.”

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]