South Korea’s shipbuilders are winning major orders as U.S. trade policies shift business away from China. The administration of President Donald Trump is considering port fees of up to several million dollars on Chinese-built ships, a move that could direct more business to South Korean firms.
On March 17, Hanwha Ocean announced it had secured an order for six ultra-large container ships from Taiwan’s Evergreen Marine, the world’s seventh-largest shipping company. The vessels, each with a capacity of 24,000 twenty-foot equivalent units (TEUs), mark Hanwha’s first order from Evergreen. The deal is valued at 2.32 trillion won ($1.75 billion), making it one of the most expensive contracts in the company’s history. “Chinese shipyards have long dominated the ultra-large container ship segment due to lower labor costs, but this deal proves our competitiveness,” a Hanwha Ocean official said.
Samsung Heavy Industries also reported on March 18 that it had won a 1.93 trillion won ($1.45 billion) contract to build nine shuttle tankers for a shipowner in Oceania. The deal accounts for roughly 25% of the company’s 2024 revenue. Shuttle tankers transport crude oil from offshore platforms to onshore storage facilities. Initially, the order was expected to be split between South Korean and Chinese shipbuilders, but Samsung secured the full contract.
Industry analysts say the shift may be influenced by growing U.S. restrictions on Chinese shipbuilding. Earlier this year, the U.S. blacklisted China State Shipbuilding Corporation (CSSC), and Washington is now weighing port fees of up to $3.5 million for ships built in China or operated by Chinese shipping firms when they enter U.S. harbors. These regulatory moves are prompting global shipping companies to look for alternative suppliers in South Korea and Japan.
