HD Hyundai chief personally attends naming ceremony for ammonia-powered vessels

Chung Ki-sun joins naming ceremony for ammonia-propelled gas carriers

Attendance reflects business significance and shipowner ties

Move underscores growing role of eco-friendly ships in HD Hyundai's strategy

HD Hyundai accelerates technology development to meet carbon regulations

HD Hyundai Chairman Chung Ki-sun (far right), then president, poses for a photo inside the cabin of the Laura Maersk, the world's first methanol-powered container ship, in 2023. [Provided by Maersk]

HD Hyundai Chairman Chung Ki-sun has personally attended the naming ceremony of a vessel recently built by HD Hyundai Heavy Industries — an unusual step for the group's top executive. The move signals his commitment to the eco-friendly shipbuilding business, a key growth engine for the group, while deepening ties with global shipowners. HD Hyundai is pushing hard to widen its lead over rapidly advancing Chinese rivals by accelerating development of high-value, environmentally friendly vessels.

According to industry sources, Chung attended the naming ceremony for the ammonia-propelled midsize gas carriers Adinkerke and Aalter at HD Hyundai Heavy Industries' shipyard in Ulsan on Aug. 25. Both vessels were built by HD Hyundai Heavy Industries for Belgian shipowner Exmar. Exmar had previously taken delivery of two other ammonia-propelled gas carriers built by HD Hyundai Heavy Industries — the Antwerpen and the Arlon — in April.

Attendance driven by business significance; eco-friendly ships gain momentum

Exmar Chairman Nicolas Saverys also attended the ceremony, and Chung is expected to have met with him to discuss future collaboration. Ammonia, a carbon-free fuel, can be stored in pressurized or low-temperature tanks without cryogenic technology. The International Energy Agency's 2050 carbon neutrality roadmap projects that ammonia's share of marine fuel will rise from 8 percent in 2030 to 46 percent by 2050.

That trajectory gives eco-friendly vessels considerable strategic weight within the group. Chung attended the naming ceremony of the Laura Maersk — a 2,100-TEU methanol-propelled container ship (one TEU equals one 6-meter container) — in Denmark in 2023. Built by HD Hyundai Heavy Industries, the vessel was the world's first container ship to run on methanol. In 2024, he attended the naming ceremony of the Anne Maersk, a methanol-propelled ultra-large container ship, at the Ulsan shipyard. "The chairman does not attend every vessel naming ceremony," an HD Hyundai official said. "Attendance is decided based on factors such as the relationship with the shipowner and the business significance of the event."

An ammonia-propelled vessel built by HD Hyundai Heavy Industries. [Provided by HD Hyundai]

Industry observers say Chung's personal attendance reflects the growing importance of eco-friendly vessels within HD Hyundai's shipbuilding operations. At the World Economic Forum in Davos, Switzerland, earlier this year, Chung met with global leaders and stressed the need for decarbonization and energy transition, describing early capture of green and low-carbon technologies as a core competitive advantage for the future shipbuilding and marine industry.

HD Hyundai has been investing heavily in strengthening its eco-friendly vessel capabilities and advancing related technologies, driven by surging demand as the International Maritime Organization tightens its decarbonization regulations. Most recently, a low-pressure cargo system for liquefied carbon dioxide (LCO₂) carriers, developed in-house by HD Hyundai Heavy Industries, won the IR52 Jang Yeong-sil Award for the 35th week. The technology's core capability is transporting large volumes of LCO₂ at minus 50 degrees Celsius and 7 atmospheres. As the carbon capture, utilization and storage market expands, demand for large LCO₂ carriers is expected to grow, and the company aims to secure an early market lead through key technology development.

Order wins pile up as technological edge sharpens

The push is translating into order wins. HD Hyundai has secured orders for nearly 40 methanol-propelled container ships to date, along with eight ammonia-propelled vessels, with further opportunities expected ahead. Market research firm Business Research Insights projects the ammonia vessel market will grow from $2.28 billion this year at a compound annual rate of 33.9 percent, reaching $32.29 billion by 2035.

While HD Hyundai is consolidating its market position, China's rapid advance remains a threat. According to the China Association of the National Shipbuilding Industry, Chinese shipbuilders' new orders for eco-friendly vessels reached 28.5 million tons last year, more than double the 12.25 million tons recorded in 2022. CSSC, China's largest shipbuilding conglomerate, plans to deliver the world's first ammonia-propelled bulk carrier before the end of this year.

To widen the gap with China, HD Hyundai has also moved aggressively into development of small modular reactor-powered vessels, among other initiatives. SMR-propelled ships can operate for extended periods without refueling and produce no carbon emissions. HD Korea Shipbuilding and HD Hyundai Heavy Industries received basic approval from Lloyd's Register in June for the concept design of a large car carrier equipped with a molten salt reactor. The MSR is a type of SMR that uses molten salt — a mixture of nuclear fuel and coolant — as its fuel source.

yeongdai@heraldcorp.com