| TITLE | HHIC overcomes current crisis with synergistic effects among business units | ||||
|---|---|---|---|---|---|
| NO | 5 | DATE | 2012-03-08 | HIT | 1667 |
| - Improvement of competitiveness of bidding in connection with HHIC-Phil's Subic Shipyard in shipbuilding and construction sectors - Agreement for manufacture of steel frames signed (the Philippine RMP-2 Project) / overseas plant development business accelerated Hanjin Heavy Industries & Construction (HHIC) aims to overcome current economic crisis through improvement of bidding competitiveness with synergetic effects among business units. HHIC-Phil announced that it signed an agreement for manufacture of steel frames for the RMP-2 (Refined Master Plan Phase 2) on February 28. The goal of the project is to manufacture steel frames, the infrastructure for oil refining plant, which was ordered by Petron Corporation and has been being developed by DAELIM. HHIC-Phil’s Subic Shipyard will manufacture and provide the steel frames. It will take about 15 months to finish this USD 38.39 million project. Due to severe economic slowdown in domestic shipbuilding and construction industries and increase in overseas business competition, the diversification of business structure has been essential. In other words, it is inevitable to work hard to survive under the motto of management innovation and development of new growth engine. HHIC plans to focus on overcoming current economic crisis by maximizing synergetic effects in shipbuilding and construction sectors. HHIC-Phil’s Subic Shipyard is a 700,000 Pyeong-large dockyard which opened in 2009. It has maintained competitiveness and productivity with state-of-the-art automation facilities and skilled labor. It also plays a role of a steel manufacturing factory with the perfect facilities and environment for the manufacture of steel frames, spools and pressure containers. In addition, the company is capable of manufacturing high-quality steel frames using state-of-the-art cutting, welding, plating and painting facilities. Because it owns 2 bulk carriers (11,700t), it can to transfer goods from Subic to the destination as well. Therefore, it is very effective in terms of cost. The company also plans to manufacture various equipment and facilities which will be used in an oil refinery factory, fire power plant and petrochemical factory that will be constructed in Southeast Asia and the Middle East. In particular, it is highly competitive in terms of manufacturing cost as well as transportation cost compared to Korea and China. HHIC targets to strengthen its competitiveness in overseas plant business based on its knowhow and advanced technology in construction and by taking advantage of the strength of its Subic shipyard. An official from the HHIC said, “The HHIC-Phil’s Subic Shipyard will be a future growth engine in a shipbuilding sector and strategic base for overseas plant business at the same time.” He continued, “We would be able to overcome current economic slowdown if we keep expanding our overseas business through the Subic shipyard.” |
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