Hyundai Merchant Marine pauses container ship orders to invest in energy transport, including LNG carriers and petroleum tankers.
South Korea's Hyundai Merchant Marine has halted plans for new container ship orders, signalling a strategic pivot toward energy transport, reported New York's FreightWaves.
The world's eighth-largest liner stated it will pause finalizing contracts for at least 10 planned 13,000 TEU LNG dual-fuel container ships scheduled for late 2026. Instead, the carrier is directing investment into Suezmax and MR petroleum tankers, LNG carriers, and very large gas carriers.
HMM operates 1.01-1.03 million TEU capacity across 70-97 vessels, including two of the largest 24,000 TEU ships in service. It remains the only Korean liner in the global top 10, serving Asia-Europe and Asia-North America trades.
The company posted 2025 revenue of US$7.5-7.7 billion, down from US$8.5 billion in 2024 but ahead of rivals Pan Ocean, Sinokor, SM Line, and KMTC. Recent deals include more than US$1 billion for eight bulk and two gas carriers through 2031, plus a resale contract for four VLCCs due in 2029.
Including earlier orders, HMM will have six new VLCCs on order, bringing its fleet to 20. It also has a joint venture with energy trader BGN to operate two new 88,000 m3 VLGCs.
In its Q1 2026 earnings release, HMM warned of oversupply from newbuild deliveries, rising costs linked to the Middle East crisis, and US tariff policies. Despite this, it announced new Africa routes using a hub-and-spoke model and expansion in Southeast Asia.
Shinhan Investment & Securities forecast Q2 2026 revenue at US$2.21 billion, up 25 percent year-on-year, with an operating profit of US$291.8 million, an 80.4 percent rise. Full-year revenue is projected at US$8.9 billion, with an operating profit of US$1.2 billion, though Shinhan maintained a Neutral rating.
