Korean shipping with government support. HMM will expand its fleet to 110 bulk carriers and 166 container ships.

HMM’s economic results in Q1 2026 vs. Q1 2025. Source: HMM 1Q 2026 Earnings Release

HMM’s management has decided to invest over 5 trillion won in expanding its bulk carrier fleet to 110 vessels. “Bulk carriers provide stable operations in a volatile shipping market and are expected to contribute to HMM’s development and become a top-tier global shipping company, increasing profits,” the shipowner explains, justifying the strategic shift. In the dry bulk maritime transport sector, long-term customers include Korea Electric Power Corporation and Brazilian mining company Vale.

In June of this year, HMM placed new orders worth approximately $1 billion. The contracts cover the construction of 10 vessels, including eight bulk carriers and two gas carriers. HMM explained that the decision was made to strengthen its competitiveness by expanding its offerings in the bulk carrier market and maintain its position in the liquefied gas transport sector.

HMM’s financial results, investment plans, and fleet expansion. Source: “Seoul Economic Daily.”

Fleet Expanding

HMM ranks first in Korea in terms of managed container ship capacity and eighth globally. Oversupply of cargo space and fluctuations in the container shipping market make HMM’s revenues unstable. The container segment generates over 80% of the company’s revenue from sales of services.

“Since last year, HMM has been working intensively to expand its bulk carrier fleet, based on a medium- and long-term investment plan worth 23.5 trillion won,” reports Yoo Hyun-wook. HMM has increased its bulk carrier fleet from 36 in 2024 to 61 currently. The company plans to expand its fleet by almost 90% to 110 ships by 2030. The container ship expansion program assumes a 55% fleet increase, from 84 to 130 ships, over the same period.

HMM’s Financial Results for 2021-2025. Source: HMM FY2025 Financial Statements.

For several years, HMM has been expanding its fleet into various segments. In October 2025, HMM announced a major contract for the construction of new LNG-powered containerships and very large crude oil tankers. The contract, valued at approximately $2.9 billion, covers twelve dual-fuel containerships with a 13,000 TEU main engine capacity and two VLCCs, reported The Maritime Telegraph.

“The vessels are being built in South Korea. Eight containerships will be built by HD Hyundai Heavy Industries, and the remaining four by Hanwha Ocean. Ship deliveries are planned for 2027 and 2028,” the gCaptain website reported. HMM announced that the order is consistent with HMM’s 2030 strategy, which calls for the development of a diversified fleet with low-emission engines.

The shipowner is consistently investing in green technologies as it prepares its fleet to operate under increasingly stringent IMO and EU regulations on harmful emissions. HMM already operates methanol- and LNG-powered vessels and plans to introduce 70 eco-friendly vessels to its fleet by 2030.

Fleet Diversification

Recently, the number of multi-purpose vessels has increased by three, and the shipowner currently has 11 of this type. In the first quarter of this year, HMM acquired two liquefied natural gas (LPG) vessels, increasing its fleet to three LPG tankers. Three new PCTC car carriers were also added to the fleet.

In a short period, the structure of HMM’s fleet has changed dynamically. The share of bulk carriers was just 33.6% at the end of 2024, rising to 38.6% by the end of May 2026. Two very large tankers (VLCCs) and two car carriers (PCTCs) are planned for launch. HMM’s economic performance is expected to rapidly decline.

“Strengthening our bulk carrier business means simultaneously pursuing quantitative and qualitative growth, such as diversifying vessel types and expanding long-term contracts,” HMM representative Yoo Hyun-wook quoted HMM as saying. “We plan to continue investing to secure vessels at the right time.”

HMM’s ship investments in the first quarter of 2026 reached 1.571 trillion won. This represents the total amount allocated to contracts resulting in the construction of a series of container and bulk carriers. This represents the largest quarterly expenditure on new tonnage investments by a Korean shipowner. In just three months, 85% of last year’s vessel budget was spent on replenishing the fleet.

“Hub-and-spoke” Strategy

To better utilize smaller container ships, HMM has focused on the Asia-Northern Europe route this year, reports the HANSA agency. The Korean shipping company’s management has developed a feeder network from major transshipment ports. To this end, HMM is steadily adding new batches of small container ships to its fleet.

HMM’s strategy has also been accepted by employees. A key element of the strategy was the relocation of its headquarters to Busan. This was a campaign promise of President Lee Jae-myung, reports the Seoul Economic Daily. In implementing its development plans, HMM can count on “the government’s full support in areas such as fiscal and tax measures,” reports Yoo Hyun-wook.

HMM’s shareholder structure. Source: Hyundai Merchant Marine

The Busan Chamber of Commerce and Industry estimated that HMM’s headquarters relocation would generate a stimulating effect of nearly 7.7 trillion won over five years and create 16,040 direct and indirect jobs. “The faster the company grows, the greater the mutual benefits for local communities like Busan,” the Seoul Economic Daily quoted an HMM representative as saying, “The financial sector’s support for growth sectors is working smoothly.”

HMM is a member of the Premier Alliance, along with ONE and Yang Ming, a group that was restructured after Hapag-Lloyd joined Maersk and operates under the Gemini Cooperation. Including container ships, bulk carriers, tankers, product carriers, car carriers, and project cargo carriers, HMM forecasts a fleet of 276 vessels by 2030, reports Manal Barakat of Kuehne + Nagel, citing “Container News.”

Investments of 29 trillion won ($19.7 billion) are expected, including new ships, terminals, ports, and broader logistics infrastructure, reports “Hansa News Global.” HMM has announced that it will strive to achieve a net-zero emissions target by 2045. According to the shipowner, smaller vessels are seen as better suited to the implementation of alternative fuels such as methanol, LNG, and other fuels.

HMM is also active in the container terminal market. The operator recently announced on social media that its US subsidiary, Washington United Terminals (WUT), which operates container terminals at the Port of Tacoma, has commissioned HD Hyundai Samho to build four port cranes. WUT has been operating since 1999 and currently operates eight STS cranes and six terminal cranes. The new cranes will replace two older STS cranes. Two new yard cranes will also be installed. This modernization will allow WUT to handle larger container ships and increase its annual handling capacity from 590,000 TEU to 880,000 TEU.

HANSA reports that in June of this year, HMM owned 96 container ships with a capacity of 1.02 million TEU and 61 bulk carriers with a capacity of 7.86 million DWT. If HMM’s fleet replacement strategy is successful, it can be assumed that the mega-container trend will end. Shipowners will begin introducing less fuel-intensive vessels that are more suited to the market.

Mapa serwisów zbiornikowców ropy HMM. Źródło: Hyundai Merchant Marine