17.2 C
Hamburg
Sunday, June 1, 2025
Home Most Visited - Newsletter South Korean companies start container factory with KOBC’s backing

South Korean companies start container factory with KOBC’s backing

South Korean engineering group Seojin Systems and compatriot container technology specialist Ace Engineering will establish a container factory in Vietnam in mid-2022, with support from the state-backed ship finance institution Korea Ocean Business Corporation (KOBC).

The factory in Haiphong will generate 4,000 boxes monthly, in line with the government’s strategy to tackle the container shortage.

On 23 November, KOBC signed a business agreement with Seojin, Ace and the country’s flagship carrier HMM with regard to the supply of containers.

In March, KOBC had discussed tentative plans with compatriot ferry and resort operator Seaspoville to build a factory in one of the South Korean ports, but this plan did not materialise due to high land and manpower costs.

KOBC cited growing burdens on South Korean shippers due to tight equipment availability and shipping capacity, and said that it is putting in all effort to ease shippers’ pressure.

KOBC noted that while Chinese factories currently account for 99% of new containers, it is hoped that diversifying supply sources will alleviate the equipment crunch, especially for HMM, which has many cargoes from Vietnam.

Last year, KOBC began leasing containers to HMM, and opening a container manufacturing plant extends assistance in relieving the equipment crunch.

“To strengthen the competitiveness of local shipping companies, KOBC will continue to carry out container lease support projects, while continuing to diversify domestic and overseas sources to secure container supply,” said the company.

Martina Li
Asia Correspondent





Latest Posts

The Indian Ocean Rivalry

The Indian Ocean has emerged as a strategic theater of competition between two Asian giants: India and China. India’s recent developments indicate a rapid expansion...

Statkraft advances plans for green hydrogen scheme at Hunterston

Europe’s largest generator of renewable energy has proposed the development of a green hydrogen facility at Hunterston, the former coal terminal in Ayrshire. Clydeport –...

Port of Bilbao wraps up busiest month for cruise traffic

May has marked a record month for cruise activity at the Port of Bilbao’s terminal in Getxo, with 18 cruise ship calls bringing over...

Tripoli port shutdown sparks maritime crisis in Libya

Libya’s shipping sector is teetering on the edge of collapse as fresh waves of political violence erupt in Tripoli, crippling key port operations and...

Klaipėda port embarks on green hydrogen initiative

Klaipėda Port launched its green hydrogen initiative, positioning itself as the first in Lithuania and the broader Baltic region to produce and supply green...
error: Content is protected !!