South Korean shipbuilders are actively seeking overseas production bases through mergers and acquisitions to meet the surging demand for their services worldwide. Hanwha Ocean Co. is establishing a holding company in the US to acquire shipyards in North America, allocating $321.6 million for manufacturing bases and stakes in other firms. HD Korea Shipbuilding & Offshore Engineering Co. (HD KSOE), an intermediate holding firm of South Korea’s top shipyard HD Hyundai Co., is considering takeovers of overseas shipbuilders to compete against Chinese rivals. South Korean shipbuilders, including Hyundai Heavy Industries and Samsung Heavy Industries, have secured substantial orders for the next five years, prompting a focus on high-profitability contracts for eco-friendly ships.

SOURCE: GOOGLE