Hanjin Shipping’s Explosive Growth

10 largest global shippers with over 200 vessels linking major ports of the world

Hanjin Shipping Co. held a ceremony on Jan. 20 to celebrate its 60th anniversary by publishing a book on its six decades of operations to rank among the 10 largest shipping firms in the world since its launch in 1949, the company announced recently.
Chairman Choi Eun-young of Hanjin Shipping Holdings as well as Hanjin Shipping, said at the celebratory event that Hanjin Shipping has made a great contribution to the nation both as a shipper of products for national survival during its early years of operation and as a protector of national security during the Korean War (1950-1953). The company also played the role of a bridge connecting Korean commodities and the world, helping to set up Korea’s rapid economic growth in the age of Korean exports. With a six-decade track record as a navigational guide, the company will create another 60 years of history along with the people of the world, she said.
Hanjin Shipping was launched in 1949 with 25 vessels, totaling 40,000 tons under the name Korea Merchant Marine Corp. During the past six decades of operation, the company developed as one of the 10 largest global shipping firms with 200 vessels, moving cargoes all over the world, surviving hard times such as the Korean War and the financial crisis of 1998, earning precious foreign exchange.
Hanjin Shipping has been leading the record-breaking growth of the Korean maritime shipping industry and is ranked the sixth largest in the world with over 1,235 ships of all types.
Minister Chung Jong-hwan of the Ministry of Land, Transport and Maritime Affairs, in his congratulatory speech read by Vice Minister Choi Jang-hyun at the ceremony, said Hanjin Shipping is a representative runner in the Korean shipping industry and has played a leading role in upgrading the competitive strength of Korean shipping. The minister hoped that Hanjin would continue to show to the shipping industry a new hope and pave the way for its sustained development in the future.
Hanjin Shipping is Korea’s largest carrier operating some 60 liner and tramper services around the globe transporting over 100 million tons of cargo annually. Its fleet consists of some 200 container ships, bulk and LNG carriers. The company is worth 6 trillion won and earns 9 trillion won annually. A member of the Hanjin Group, Hanjin Shipping has several subsidiaries and affiliates including logistics IT specialist CyberLogitec; Pyeongtaek Container Terminal Co., Ltd.; Hanjin SM (Ship Management); and terminal operation company HPC (Hanjin Pacific). Hanjin Shipping has a comprehensive global business network with four regional headquarters, 200 overseas branch offices and 30 local corporations, earning about 90 percent of its total revenue overseas.
Hanjin Shipping’s world-class logistics network includes 12 dedicated terminals in Rotterdam, Long Beach, Tokyo, Kaohsiung and Busan, among others, and six inland logistics bases in such locations as Shanghai, Qingdao and Port Kelang. Four more dedicated container terminals are scheduled to open in the near future; Busan New Port of the development Phase 2-1 in 2009, Algeciras and Vietnam in 2010 and Jacksonville in 2011. Furthermore, Hanjin Shipping’s ship repair yard in China, scheduled for completion in early 2009 will provide efficient repair services not only for its own vessels, but also for other carriers, thereby functioning as a new source of income for the company.
Hanjin Shipping’s seamless international shipping service was recognized by a Best Carrier Award by Fred Meyer in 2004, Good Partner awards by Target Store and Best Buy in 2005. Moreover, Hanjin Shipping was honored as the Ocean Carrier of the Year by Ryder System in 2006 and also by Owens Corning for six years from 2001 to 2008.
In early 2003, Hanjin Shipping allied with COSCON of China, Yang Ming of Taiwan and K-Line of Japan to form the ‘CKYH Alliance,’ the world’s largest strategic alliance. The CKYH Alliance has enabled Hanjin Shipping to sharpen its competitive edge by broadening its service coverage, offering Express Services, and sharing space with its allies to lower costs. In the meantime, CEO Kim Young-min of the shipping firm was named to head the Trans-Pacific Stabilization Agreement for a year as its chairman at the TSA CEO meeting held on Jan. 14 in Singapore. His major job involves the stabilization of Pacific sea lanes and the reduction of polluting materials during his one-year term of office. The TSA is the top organization in the container sea routes in the Pacific, the largest container shipping lane in the world. The CEOs of the world’s container shipping companies gathered at the TSA head office in Singapore and unanimously approved Kim’s appointment to head the organization. nw

(left) Chairman Choi Eun-young of Hanjin Shipping Holdings and Hanjin Shipping Co. gives a speech at a ceremony for the publication of a book of the history of Hanjin Shipping Co. a key affiliate of the holding company, which celebrated the 60 years of its operation recently at Hotel Lotte in Seoul. A group of dignitaries, including Vice Minister Choe Jang-hyun of the Ministry of Land, Transport and Maritime Affairs and Hanjin Shipping Chairman Choi, cut the cake in celebration of the book on the 60th founding anniversary of the company.