HD Korea Shipbuilding & Offshore Engineering aims to secure orders worth $18 billion in 2024, a target that appears ambitious given the company’s performance last year and broader market forecasts.
The South Korean shipbuilding giant’s goal represents a 34% increase from its 2023 target of $13.5 billion, even as the company fell short of expectations with $20.56 billion in actual orders last year. Industry analysts suggest this target might be challenging to achieve, as global new ship orders are projected to decline by 29% to 42 million compensated gross tonnage in 2024, according to Export-Import Bank of Korea data.
The company’s three main affiliates have set individual targets: HD Hyundai Heavy Industries leads with $9.75 billion, followed by HD Hyundai Samho at $4.57 billion and HD Hyundai Mipo at $3.8 billion.
Despite market headwinds, the company plans to maintain its selective ordering strategy, focusing on high-value eco-friendly vessels to protect profit margins. This approach comes as the global shipping industry faces increased pressure to reduce emissions and comply with stricter environmental regulations.
