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Gov't to provide $221.4 million to support projects aimed at developing advanced shipbuilding technologies

Published: 24 Feb. 2026, 19:24

Hanwha Ocean's shipyard in the southeastern city of Geoje [YONHAP]

The government will provide 320 billion won ($221.4 million) this year to support projects aimed at developing cutting-edge shipbuilding technologies as part of efforts to help Korea's shipbuilding industry maintain its global leadership, the Ministry of Trade, Industry and Resources said on Tuesday.

This year's budget marks a 23 percent increase from 2025, according to the Industry Ministry.

The ministry said it will focus on supporting projects for developing environmentally friendly vessels, AI-equipped ships and shipyards, as well as strengthening the competitiveness of small- and medium-sized shipbuilders.

In detail, the projects subject to state support will include those aimed at developing carbon-free fuel propulsion technologies, such as ammonia turbines and hydrogen engines; carbon dioxide capture and storage systems; AI-powered smart shipyards; technologies and equipment for building icebreakers; and electric propulsion systems for offshore wind support vessels.

“Although Korea's shipbuilding industry has recently achieved significant accomplishments, there remain challenges that need to be addressed, including structural work force issues, concentration of orders in certain vessel types and the comparatively weak competitiveness of small- and medium-sized shipbuilders,” a ministry official said, vowing efforts to help the sector secure a technological edge over its foreign competitors.

Korea's ship exports reached a record high of $31.8 billion in 2025, with Korean shipbuilders accounting for a combined 20.2 percent of all global orders, which marks a 6.2 percentage point increase from a year earlier.

The country had the biggest share of orders for high-value ships, such as liquefied natural gas carriers, according to the ministry.

Yonhap