Kim Dong-kwan, Vice Chairman of one of the largest conglomerates in South Korea, the Hanwha Group, has been appointed as the new head of the Investment Division of Hanwha Impact, effective on Aug. 29. Hanwha Impact focuses on investments in new businesses, including hydrogen and biotechnology.
This appointment adds to Kim’s current roles as CEO of three key companies of the group: Hanwha Corporation, Hanwha Solutions, and Hanwha Aerospace. As the eldest son of Hanwha Group Chairman Kim Seung-youn, Kim Dong-kwan oversees the group’s defense and energy businesses.
On the same day, Hanwha Group announced leadership changes in eight CEO positions across seven major subsidiaries, following the appointment of CEOs in three petrochemical and energy companies in July.
On the day of the announcement, four individuals were appointed as CEOs for the first time. Among them, two were born in the 1970s, and two are experts in the petrochemical and secondary battery sectors who were also promoted to CEO positions within their respective subsidiaries.
Hanwha Group explained that these appointments are part of its strategy to overcome the current management crisis and secure future growth by replacing key executives with those who possess business expertise and global capabilities. The leadership changes affect Hanwha Ocean, Hanwha Systems, Hanwha Energy, Hanwha Impact (both Investment and Business Divisions), Hanwha Power Systems, Hanwha Momentum, and Hanwha Asset Management.
The most notable company in this round of appointments is Hanwha Impact, formerly known as Hanwha General Chemical. Initially focused on the chemical sector as a holding company until 2020, Hanwha Impact has expanded its domestic and international investments into hydrogen and biotechnology since 2021.
This is because Vice Chairman Kim, who already oversees Hanwha’s core industries, including solar energy, aerospace, and defense, will now also directly lead the investment division of Hanwha Impact, which focuses on new businesses like hydrogen and biotechnology.
Hanwha Impact is also considered a crucial entity within Hanwha Group’s corporate structure. The company’s largest shareholder is Hanwha Energy, which holds a 52.07% stake. Hanwha Energy is partially owned by the three sons of Chairman Kim Seung-youn: Kim Dong-kwan with 50%, Kim Dong-won, President of Hanwha Life Insurance, with 25%, and Kim Dong-sun, Vice President of Hanwha Galleria, also with 25%.
Additionally, Hanwha Energy is the second-largest shareholder of Hanwha Corporation, the de facto holding company of the group, with approximately 15% ownership. Last month, Hanwha Energy increased its stake in Hanwha Corporation by an additional 5.2% through a public tender offer. As Hanwha Energy’s stake in Hanwha Corporation grows, so does the influence of the three brothers within the group.
In the key subsidiaries, individuals with expertise were strategically placed in leadership roles.
Kim Hee-cheul, who is known as Vice Chairman Kim Dong-kwan’s mentor in the solar energy business and currently serves as the CEO of Hanwha Energy and Hanwha Impact, has been appointed as the new CEO of Hanwha Ocean. Son Jae-il, the current CEO of Hanwha Aerospace, who has successfully led exports to Eastern Europe and the Middle East, will also take on the role of CEO at Hanwha Systems, thus leading both companies.
The new CEO of Hanwha Energy is Lee Jae-kyu, previously the director of planning department at Hanwha Energy. Moon Kyung-won, who led the PTA Business Division at Hanwha Impact, will take charge of the company’s business division.
Lee Koo-young, the former CEO of Hanwha Solutions’ Q-Cells division, will now lead Hanwha Power Systems. Ryu Yang-sik, who headed the Secondary Battery Business Division at Hanwha Momentum, has been appointed as the new CEO of the company. Lastly, Kim Jong-ho, who has been overseeing management at Hanwha Asset Management, will step up as the new CEO.
