The 24,000-teu HMM Algeciras pictured in after its delivery in April 2020. Photo courtesy HMM
South Korea’s flagship shipping line HMM will invest approximately $11 billion in the coming years to expand its fleet of container and bulk ships, terminal capacity, and logistics facilities.
The growth strategy, announced Thursday, will include adding 1.2 million TEU in “eco friendly” containership capacity by 2026, more than doubling its current fleet capacity. HMM will also “substantially” increase its fleet of bulk ships from 26 to 55 during the same timeframe.
According to Alphaliner, HMM fleet currently holds 3.2% market share in the global container shipping industry with 816,000 TEU capacity, ranking it 8th in the global rankings of liner operators. The addition of 1.2 million TEU will bring HMM to around 3 million TEU, which would rank it 4th in the current rankings behind MSC, Maersk and CMA CGM and ahead of COSCO, Hapag-Lloyd, Evergreen and ONE.
In addition to adding ships, HMM’s strategy also plans to secure logistics infrastructure, including terminals and facilities, and enhance its digital platforms.
“Our strategy is to ensure perpetual growth of HMM under the new vision – a global leading company generating sustainable value for the world,” said Kim Kyung Bae, HMM President and CEO. “We will continue to drive efforts for contribution to the global community.”
HMM, formerly known as Hyundai Merchant Marine, became South Korea’s leading ocean carrier following the collapse of Hanjin Shipping in 2016. HMM is a member of THE Alliance, which also includes Hapag-Lloyd, ONE, and Yang Ming.
South Korea’s white knight shipping company SM Line, which emerged in 2016 after acquiring the former assets of Hanjin, has been expanding its holdings in HMM, fueling speculation that the two could merge. SM Group currently holds a little over 6% in HMM, ranking it as HMM’s third-largest shareholder.
HMM is pursuing a target of net zero emissions by 2050.
Join the 84,033 members that receive our newsletter.
Have a news tip? Let us know.
By Jonathan Saul LONDON, July 14 (Reuters) – Marine and energy equipment maker Wartsila will roll out its first methanol-powered engine in a new ship next year as the group accelerates green fuel...
By Beril Akman, Megan Durisin and Daryna Krasnolutska (Bloomberg) — Negotiations over unblocking millions of tons of Ukraine’s grain exports were constructive, according to Ukraine, the United Nations and Turkey, marking...
By Augusta Saraiva and Ngai Yeung (Bloomberg) — The White House is monitoring labor talks in the logistics industry as unions representing 115,000 rail workers and 22,000 West Coast dockworkers negotiate...
Get the latest gCaptain articles and breaking news
Get the latest gCaptain articles and breaking news
The Leader in Maritime and Offshore News
For general inquiries and to contact us, please email: [email protected]
To submit a story idea or contact our editors, please email: [email protected]
Enter your email and get some awesome stuff every week