Hanwha Group has completed the acquisition of HSD Engine, the world’s second-largest low-speed engine manufacturer for ships, and changed its name to Hanwha Engine.
Hanwha Group has announced on Feb. 28 that resolutions were passed during the interim shareholders’ meeting of HSD Engine held on Feb. 27 to amend the articles of incorporation, including changing the company name to Hanwha Engine Co., Ltd., and appointing new directors.
Yoo Moon-ki, the former head of the investment strategy division at Hanwha Impact, has been appointed as the new CEO of Hanwha Engine. Hanwha Impact, which signed a memorandum of understanding for the acquisition of HSD Engine in February 2023, is the largest shareholder of Hanwha Engine. Hanwha Impact has secured a 32.8 percent stake in Hanwha Engine through the purchase of existing shares and a new share issuance.
Maintaining its position as the second-largest player in the global market for low-speed engines used in large vessel propulsion, Hanwha Engine supplies low-speed marine engines to prominent shipyards both domestically and internationally, including Hanwha Ocean.
Hanwha Engine achieved a significant milestone in 2013 by successfully commercializing the world’s first dual-fuel low-speed engine for ships. Following this success, in 2013, it developed the world’s first environmentally friendly low-pressure selective catalytic reduction (LP SCR) system for ships and successfully commercialized it in 2014. The LP SCR system is an environmentally friendly device capable of removing over 90 percent of nitrogen oxides from exhaust gases.
After the acquisition of Hanwha Ocean in 2023, Hanwha Group has now expanded its presence to include Hanwha Engine. With this development, the group has secured a comprehensive shipbuilding solution, covering engine manufacturing to ship construction, leveraging its in-house production and technological capabilities. Moreover, it can anticipate an expansion in its ship equipment AM business, which involves customer service after purchase, such as the sale and repair of parts.
Based on Hanwha Engine’s extensive experience in ship engine manufacturing and synergy within the group, Hanwha Group plans to actively promote the development and commercialization of environmentally friendly fuel engines utilizing substances like ammonia. Currently, Hanwha Engine is also focusing on the development of smart ship solutions for efficient navigation and eco-friendly fuel propulsion systems.