End of Professional Management System... Kwon Oh-gap Becomes Honorary Chairman
AI, Eco-friendly, and Digital Innovation to Drive Future Growth Strategy
"Stable Growth Foundation to Be Established Through Owner Leadership"
Jung Ki-sun, Senior Vice Chairman of HD Hyundai Group, will be promoted to Chairman. Kwon Oh-gap, who has been leading the group, will be appointed as Honorary Chairman. This marks the end of the professional management system that began after Chung Mong-joon, Chairman of the Asan Foundation, stepped down from management in 1991, and the transition to an owner-led management system centered around Jung, the eldest son. Chairman Jung now faces the task of leading the group through a period of upheaval in the shipbuilding industry, including strengthening cooperation with the United States under the MASGA (Make American Shipbuilding Great Again) initiative.
On October 17, HD Hyundai announced its executive appointments for 2025, centered around these changes. The group explained, "With the integration of the shipbuilding and construction equipment divisions scheduled for the end of this year, we made these appointments earlier than usual to minimize organizational confusion and maximize synergy."
Jung Ki-sun, Chairman and CEO of HD Hyundai (left), and Cho Young-chul, Vice Chairman and CEO of HD Hyundai. HD Hyundai
Chairman Jung will concurrently serve as CEO of both HD Hyundai and the intermediate holding company HD Korea Shipbuilding & Offshore Engineering, overseeing the group’s overall strategy and investments. He will also serve as Co-CEO of HD Hyundai Site Solution, taking the lead in overcoming the recent downturn in the construction equipment business and securing new growth engines. An HD Hyundai representative stated, "With Chairman Jung's promotion, we will restructure the group’s leadership to strengthen our global competitiveness."
Both inside and outside the group, there is consensus that "Chairman Jung has seized the 'best possible timing' to assume management rights at a time when the organization is stable, enabling him to lead the group into a new era of change." Some also interpret the move as HD Hyundai having no further reason to delay its generational shift, especially since major groups like Hanwha have already entered third-generation management.
Chairman Jung joined Hyundai Heavy Industries' finance team in 2009 and later served as Head of Management Support at HD Hyundai, Head of Ship Sales at HD Hyundai Heavy Industries, and CEO of HD Hyundai Marine Solution. In 2016, he established HD Hyundai Marine Solution and grew it into a key affiliate with a market capitalization of 11 trillion won. In 2021, he led the acquisition of Doosan Infracore, incorporating the construction equipment business as a new growth pillar for the group.
Honorary Chairman Kwon will step down from his CEO position after the shareholders’ meeting in March next year.
In this round of appointments, Cho Young-chul, President of HD Hyundai Site Solution, has been promoted to Vice Chairman and named Co-CEO of HD Hyundai. Vice Chairman Cho, with a background in finance, has overseen investments, finance, and digital transformation at HD Hyundai. He will manage the group’s holding company alongside Chairman Jung. In the shipbuilding division, Kim Hyung-kwan, President of HD Hyundai Mipo, will move to become CEO of the Shipbuilding & Offshore division. President Kim, together with Chairman Jung, will lead the shipbuilding business, focusing on productivity and quality innovation, as well as the integration of the new organization. Industry observers note that the appointment of these two figures completes the "practical dual leadership structure" under Chairman Jung.
Geum Seok-ho, Executive Vice President of HD Hyundai Heavy Industries, has been promoted to President and will serve as Co-CEO with Vice Chairman Lee Sang-kyun. Kim Sung-jun has been named CEO of HD Hyundai Marine Solution. In the construction equipment division, Moon Jae-young, Executive Vice President, will become CEO and President of HD Hyundai Construction Equipment, while Song Hee-jun, Executive Vice President, will become CEO of HD Hyundai Site Solution. Kim Wan-soo, CEO of HD Hyundai Robotics, has also been promoted to President.
The group plans to use the launch of Chairman Jung’s leadership as an opportunity to expand future businesses such as artificial intelligence (AI), eco-friendly initiatives, and digital innovation, and to build a stable foundation for growth by harmonizing owner leadership with professional management. HD Hyundai will soon hold board-level personnel review committees at each affiliate to finalize follow-up executive appointments, and will convene a year-end management strategy meeting to confirm its business plan for 2025.
An HD Hyundai representative stated, "Through the harmony of the new and existing management teams, we will strengthen the competitiveness of our existing businesses and secure new growth engines through innovation across all areas, aiming to become a world-class comprehensive heavy industry group." The representative added, "HD Hyundai will maintain its global standing in shipbuilding and contribute to national economic development and sustainable growth through the success of the MASGA project and the development of new technologies."
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