Hanwha Engine Launches... Completing Total Shipbuilding Solutions

HSD Engine Starts Anew as 'Hanwha Engine'

At the unveiling ceremony held on the 28th at Hanwha Engine headquarters in Seongsan-gu, Changwon, Deputy Manager Jeong Byeong-jin, a representative employee of Hanwha Engine (from the left in the photo), Park Seong-yeop, head of the labor union branch, CEO Yoo Moon-gi, Jin Young-seong, CEO of external partner company SenaCo Co., Ltd., and Hong Hyeong-gi, CEO of internal partner company Boseong Industrial Engine Co., Ltd., are taking a commemorative photo. Photo by Hanwha Engine

Hanwha Group has completed the acquisition of HSD Engine, the world's second-largest company in low-speed marine engines.

The new company name is Hanwha Engine. At the extraordinary general meeting of shareholders held on the 27th, related proposals including the amendment of the articles of incorporation to change the company name to 'Hanwha Engine Co., Ltd.' and the appointment of new directors were approved.

The new CEO of Hanwha Engine is Yoo Moon-ki, former head of the Investment Strategy Office at Hanwha Impact. CEO Yoo previously served as head of business development at Hanwha Advanced Materials, head of the new business division, and investment strategy officer at Hanwha Impact. The major shareholder of Hanwha Engine is Hanwha Impact, which signed a memorandum of understanding for the acquisition of HSD Engine in February last year. Hanwha Impact secured 32.8% of Hanwha Engine’s shares (through purchase of existing shares and paid-in capital increase of new shares).

Hanwha Engine has established itself as a leader in the marine engine sector based on its outstanding technological capabilities. Maintaining the world's second-largest market share in low-speed engines used for large ship propulsion, Hanwha Engine supplies low-speed marine engines to leading domestic and international shipyards, including Hanwha Ocean.

In 2013, Hanwha Engine succeeded in commercializing the world's first dual-fuel low-speed marine engine. Additionally, in 2013, it developed the world's first eco-friendly low-temperature selective catalytic reduction (LP SCR) system for ships and successfully commercialized it in 2014. The low-temperature SCR system is an eco-friendly device that can remove over 90% of nitrogen oxides from exhaust gases.

Following the acquisition of Hanwha Ocean last year and now the addition of Hanwha Engine, Hanwha Group has secured a ‘total shipbuilding solution’ from engine manufacturing to ship construction through in-house production and technological capabilities. This also opens up prospects for expanding the ship equipment aftermarket (AM) business, including parts sales, repairs, and after-sales services.

Hanwha Group plans to actively promote the development and commercialization of eco-friendly fuel engines using ammonia and other fuels, leveraging Hanwha Engine’s extensive marine engine manufacturing experience and group synergies. Currently, Hanwha Engine is also dedicated to developing smart ship solutions for efficient ship operation and eco-friendly fuel propulsion systems.

In his inaugural speech, Yoo Moon-ki, the new CEO of Hanwha Engine, stated, "The new name Hanwha Engine signifies becoming part of the Hanwha family and embodies a strong growth engine to challenge new possibilities." He urged, "Each and every employee should challenge the future and innovate themselves to provide customers with value that competitors cannot imitate."