South Korea to Order 200 New Vessels
Sea Freight

South Korea to Order 200 New Vessels

Country looks to re-energize its struggling maritime sector with drastic move.

TLME News Service

South Korea is to place orders for around 200 vessels by the time 2020 is over in a bid to help galvanize its stumbling shipping and shipbuilding industry global demand, according to the South Korean Ministry of Oceans and Fisheries.

South Korea is a major shipbuilding hub, yet with overcapacity strangling the market, it has struggled in recent years,

To add further complexity to the situation, major liner Hanjin Shipping of South Korea went bankrupt in 2016.

According to Yonhap News, Oceans Minister Kim Young-choon said: "Following the bankruptcy of Hanjin Shipping, sales of South Korea's shipping industry were cut by over 10 trillion won [US$940 million], and the tonnage of the deep sea containers has been cut in half.

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