Shares of Hanwha Ocean surged as much as 16.06% on Thursday to their highest levels since July 2015, following U.S. President Donald Trump’s announcement of a blanket 15% tariff on Seoul’s exports to the U.S.
According to Reuters, Kim Dong-kwan, the vice chairman of the Hanwha Group, was part of a delegation of business leaders in Washington lobbying for a trade deal, which included Hyundai Motor Group Chairman Euisun Chung and Samsung Electronics Chairman Jay Y. Lee.
Hanwha Group is expected to expand or upgrade facilities at its Philly Shipyard in Philadelphia, which it acquired last year, Yonhap News Agency reported, while playing a key role in revitalizing U.S. shipbuilding efforts.
Thursday marked the South Korean shipbuilder’s second consecutive session in the green. Its gains follow a surge in its operating profits in the second quarter ended June, as well as a slew of announcements.
Hanwha Ocean reported operating profits of 371.7 billion Korean won ($266.7 million) in its second quarter ended June on Tuesday. This is around 43.6% higher than the 259 billion won reported in the preceding quarter and a reversal from the losses of 10 billion won posted in the same period a year ago.
Revenues jumped 4.8% quarter-over-quarter to 3.3 trillion won, thanks to stronger commercial and offshore sales, the shipbuilder reported.
The company also announced that it secured new orders amounting to 353.6 billion won on Tuesday, according to a Reuters report.
Separately, the shipbuilder on Thursday launched several initiatives, part of a 2023 program, with industry partners to make it more competitive globally, with an eye on the threat posed by Chinese shipbuilders.
In another move, Hanwha Ocean also set up a new engineering center in India, according to reports from The Korea Bizwire.
Citing comments from industry sources familiar with the matter, the South Korean publication noted that the Hanwha Ocean Global Engineering Center India was inaugurated on Sunday at an industrial hub in Noida, some 26 kilometers away from India’s capital, New Delhi.
Source: CNBC