HMM announces $17.4 billion investment plan focusing on sustainability

Hyundai Merchant Marine (HMM) has developed a mid-to-long-term plan to extend its business portfolio for future growth.

According to its sustainable growth strategy, HMM will invest a total of KRW 23.5 trillion ($17.4 billion) by 2030, with KRW 14.4 trillion ($10.7 billion), or more than 60 per cent of total investment, going toward sustainable management activities including low-carbon ships and green facilities.

As it works toward Net Zero 2045 to improve its reaction to environmental requirements and attain carbon neutrality, HMM revealed that it will invest KRW 1 trillion ($743 billion) in ship engine modernisation, ensuring a supply chain for green fuels, and enhancing operational stability and efficiency through digitisation.

In addition to this, the company intends to buy around 70 green vessels by 2030 and create a carbon-neutral ecosystem across all transportation sectors by 2045.

HMM also intends to invest KRW 11 trillion ($8 billion) to ensure an operable fleet of 1.55 million TEU (130 vessels), preparing for the rearrangement of global shipping alliances and strengthening the core business’s competitiveness.

Given the growing fleet size, plans include an investment of KRW 1.7 trillion ($1.2 billion) in container boxes to improve operating efficiency.

A further investment of KRW 4.2 trillion ($3.1 billion) will go to improve its shipping and logistics infrastructure.

HMM finally aims to invest KRW 5.6 trillion ($4.1 billion) to increase its bulk business by increasing its fleet from 36 to 110 vessels (12.56 million DWT).

Recently, Ocean Network Express (ONE), HMM, and Yang Ming Marine Transportation announced a new collaboration under the moniker ‘Premier Alliance’.