Hanwha Ocean secures $1.4 billion order from Taiwan's Yang Ming

Hanwha Ocean, one of Korea’s largest shipbuilders, announced Wednesday that it had secured a $1.4 billion contract to build ultralarge container carriers for Yang Ming, Taiwan’s major shipping company.

Under the deal, Hanwha will deliver seven container ships, each with a capacity of 15,880 twenty-foot equivalent units, by 2029.

In preparation for stricter international fuel regulations, the vessels will be equipped with dual-fuel propulsion engines that can run on both conventional fuel oil and liquefied natural gas. They will also feature an ammonia-ready design, allowing them to be converted in the future to run on ammonia, a fuel eyed as a greener alternative to LNG.

“This first-ever contract with Yang Ming reflects recognition of Hanwha Ocean’s differentiated eco-friendly technology and design expertise,” said Kim Hee-cheol, CEO of Hanwha Ocean. “(Through this project,) we will strengthen our technological leadership and advance our position in the global eco-friendly shipbuilding market.”

Hanwha said the ships will feature LNG fuel tanks with enhanced pressure endurance, capable of withstanding up to 1.0 bar, equivalent to about 10 metric tons per square meter, which is the highest level among commercial liquefied gas tanks.

This capability enables safer operations by allowing vaporized gas generated during sailing to be contained for longer periods.

The contract with Yang Ming follows Hanwha’s earlier order in March from another Taiwanese shipping giant, Evergreen, for ultralarge container vessels. With both of Taiwan’s top two carriers as customers, Hanwha Ocean aims to further expand its presence in the Taiwanese shipping market.