KOSPI and Nikkei duo end historic week on upbeat note, other Asian markets low-key SEOUL, October 31 (AJP) - South Korean and Japanese equities extended their record-setting momentum on Friday, moving in lockstep toward new highs while most other Asian markets ended lower amid mixed regional sentiment. Japan’s Nikkei 225 led the advance, soaring 2.25 percent to 52,478, the first time the benchmark has ever topped the 52,000 threshold. The rally accelerated after Bank of Japan Governor Ueda Kazuo signaled a pause in rate hikes, reinforcing expectations for renewed stimulus. Tech shares also strengthened after Apple posted an 8 percent on-year increase in quarterly revenue, lifting suppliers across the region. Murata Manufacturing, a top MLCC component producer, jumped 12 percent to 3,395 yen ($22). In Seoul, the KOSPI gained 0.5 percent to 4,107.5, closing out a historic week on a firm note. Samsung Electronics climbed 3.27 percent to 107,500 won ($75.42), while Hyundai Motor surged 9.43 percent to 290,000 won on optimism stemming from the recently concluded Korea–U.S. tariff negotiations and the “Huang halo” following Nvidia CEO Jensen Huang’s high-profile visit. On Thursday, Samsung Electronics Chairman Lee Jae-yong and Hyundai Motor Group Chairman Chung Eui-sun met the visiting Nvidia chief for a late-night “chimaek” (chicken-and-beer) gathering in Seoul — a scene that underscored the deepening alignment between Korea’s top tech and mobility leaders. NAVER — another core player in the emerging “AI alliance” orbiting Nvidia — rose 4.7 percent to 267,500 won. NAVER Chairman Lee Hae-jin, who joined President Lee Jae Myung and Huang during their meeting, said the company plans to co-develop a “Physical AI” platform aimed at supporting national industries including defense and shipbuilding. Robotics stocks also surged on the Huang effect after the CEO hinted at future collaboration with Korean robotics firms during Thursday’s Nvidia GeForce Gaming Festival. Hyundai Autoever, specializing in automotive and robotics software, spiked 26.08 percent to 203,500 won, while Rainbow Robotics jumped 24 percent to 436,500 won. The KOSDAQ climbed 1.07 percent, reclaiming the 900 level, driven by similar enthusiasm for robotics names. Neuromeka, known for its medical robotic arms, surged 20.15 percent to 31,900 won. Elsewhere in Asia, sentiment was subdued. China’s Shanghai Composite Index fell 0.81 percent to 3,954.79, slipping below the 4,000 mark as manufacturing activity contracted for the seventh straight month and PMI data disappointed. Taiwan’s TAIEX slipped 0.19 percent to 28,233.35 amid weakness in export-oriented sectors. As of 4:25 p.m., Hong Kong’s Hang Seng Index was down 1.15 percent at 25,985. 2025-10-31 17:04:26

South Korea's factory output slips in September, but investment surge signals upbeat outlook SEOUL, October 31 (AJP) - South Korea’s industrial production dipped in September as auto exports faltered under the weight of higher U.S. tariffs, but a sharp rebound in capital investment suggested that the manufacturing sector may be regaining its footing amid a global semiconductor boom and signs of easing trade frictions. According to data released Friday by the Ministry of Data and Statistics, manufacturing output fell 1.2 percent from the previous month — the first decline since May. The drop was driven largely by an 18.3 percent plunge in automobile shipments, which more than offset a nearly 20 percent surge in semiconductor production. Manufacturing inventories rose 2.2 percent on month, while the average factory operating rate slipped 1.2 percent, leading to a modest decline in the inventory circulation index. The weakness in manufacturing contrasted with strength elsewhere in the economy. Service-sector output rose 1.8 percent from August, buoyed by a new round of government stimulus vouchers that spurred consumer spending. Overall industrial activity increased 1 percent on the month. Output grew across most categories, led by a 5.8 percent increase in wholesale and retail trade, boosted by strong demand for machinery and household goods. The financial and insurance segment expanded 2.3 percent, supported by higher margin lending tied to active stock trading. By contrast, arts, sports and leisure services fell 8.4 percent, reflecting weaker consumer sentiment as households and firms shifted toward defensive, investment-oriented spending. Retail sales slipped 0.1 percent from the previous month in September, marking the second consecutive decline. Although the pace of contraction slowed from August’s 2.5 percent drop, the figures still pointed to weakening consumer demand. By category, sales of durable goods — including smartphones, computers, and home appliances — rose 3.9 percent, though a decline in automobile sales offset the gains. Meanwhile, semi-durable goods such as clothing, shoes, and bags fell 5.7 percent. Nondurable goods, including gasoline and diesel, edged down 0.1 percent, extending the overall downward trend in consumption. The outlook, however, appears more upbeat. Capital investment jumped 12.7 percent in September, reversing a 1.3 percent decline in August, as companies ramped up spending on shipbuilding and semiconductor fabrication facilities. Machinery investment climbed 9.9 percent, while transport-equipment investment jumped 19.5 percent. A more optimistic market outlook across the manufacturing sector stimulated by a series of strong earnings reports by major South Korean companies - including Samsung Electronics and SK hynix - encouraged companies to expand capital spending. Momentum indicators also hinted at a potential turning point. The cyclical coincident index, which measures current economic conditions, rose 0.2 points, while the leading index — a gauge of future trends — added 0.1 point, supported by firmer export and import prices and a buoyant stock market. Experts say the combination of robust investment and resilient service activity could cushion the economy from near-term trade headwinds, particularly if semiconductor demand continues to strengthen through year’s end. “Despite weaker investment sentiment stemming from growing domestic and global policy uncertainty, demand for high value-added memory semiconductors is expected to remain solid, supporting continued strength in the semiconductor industry through the latter half of the year," the Korea Institute for Industrial Economics and Trade noted in a report. 2025-10-31 09:24:37

Hyundai Motor's Q3 profit dips 29% on U.S. tariff shock; shares hold firm on trade deal SEOUL, October 30 (AJP) - Hyundai Motor reported a sharp retreat in third-quarter operating profit Thursday as the spike in U.S. auto tariffs wiped more than $1 billion from the automaker’s bottom line, but reiterated that its EV and expansion strategy in the U.S. remains intact regardless of setbacks. South Korea’s largest automaker — and the world’s No. 3 as of March — said operating profit fell 29.6 percent on quarter and 29.2 percent on year to 2.54 trillion won ($1.78 billion). Revenue climbed to 46.72 trillion won, the highest for any third quarter, down 3.2 percent from the previous quarter but up 8.8 percent from a year earlier. The operating margin slumped to a three-year low of 5.4 percent. The company attributed the earnings shock to Washington’s hike of U.S. auto tariffs to 25 percent, a rate that remained in place for Korean exports even as the U.S. lowered duties on Japanese and European cars to 15 percent under separate bilateral agreements. Investors, however, looked past the weak results after Seoul and Washington reached an overnight deal to cut Korean auto tariffs to 15 percent as part of a broader $350 billion investment package from Korean companies. Hyundai Motor shares traded 2.8 percent higher at 265,250 won as of 2:45 p.m. in Seoul. Global shipments stayed resilient, with Hyundai cars selling 1,038,353 units in July-September period, up 2.6 percent from a year earlier but down 28,000 units from the previous quarter. SUVs accounted for the largest share with 659,000 units sold, followed by 327,000 passenger cars and 52,000 commercial vehicles. Eco-friendly models remained a key growth driver. Hyundai sold 252,000 eco-friendly vehicles, including 76,000 electric vehicles (EVs) and 161,000 hybrid electric vehicles (HEVs). While EV demand softened globally, sales in North America surged 90.3 percent as the company moved aggressively to clear remaining inventory after U.S. President Donald Trump scrapped federal EV subsidies. Fuel-cell electric vehicle (FCEV) sales also rose sharply to 4,000 units, driven by the launch of The All-New NEXO, up from 1,000 units in the second quarter. Hyundai also broke ground on Korea’s first hydrogen fuel-cell plant in Ulsan the same day, signaling its intention to accelerate growth in the FCEV segment. Despite the tariff relief, the company predicted sales setback in the U.S. in the fourth quarter due to the end of federal subsidy. To bridge the EV gap, Hyundai is rolling out hybrid version of Palisade SUV in North America. “The Palisade has always been one of our most profitable models,” Hyundai said. “With the tariff agreement lowering reciprocal rates to 15 percent, we expect even higher operating margins.” EV demand remains robust in Europe, supported by strict environmental regulations, generous subsidies, and the region’s planned 2035 ban on internal combustion engines, will likely offset the losses. The auto giant affirmed it will maintain on track in long-term EV pivot strategy, the company said in a conference call. The EV roadmap with battery partners LG Energy Solution and SK on including joint-venture plants also remains intact. 2025-10-30 15:29:49

KOSPI positive on U.S. concessions, other Asian markets await Trump–Xi meeting SEOUL, October 30 (AJP) - South Korea’s benchmark KOSPI extended gains early Thursday after Seoul and Washington reached a long-awaited tariff agreement, removing a key bilateral sticking point ahead of a high-stakes U.S.–China summit later in the day, while other Asian markets were on hold as investors awaited direction on broader geopolitical tensions. The KOSPI climbed 0.3 percent to 4,090 as of 10:30 a.m., following confirmation that President Lee Jae Myung and U.S. President Donald Trump finalized the tariff terms during the APEC 2025 summit in Gyeongju. Retail investors bought a net 206 billion won ($140 million), joined by foreigners with 57.5 billion won, while institutions and credit-finance firms sold a combined 275 billion won to lock in recent gains. Automakers surged after the two nations agreed to cut U.S. automobile tariffs on Korean cars from 25 percent to 15 percent. Hyundai Motor jumped 6 percent to 272,500 won and had briefly triggered a two-minute volatility interruption the previous day after spiking more than 13 percent. Kia rose 3.7 percent to 120,100 won. Hanwha Group stocks rallied on new momentum. Hanwha Ocean jumped 12 percent to 148,000 won after Trump posted that a Korean nuclear-powered submarine would be built at the company-owned Philly Shipyard in the U.S. Hanwha Systems soared 17 percent to 64,800 won on its plan to enter the unmanned surface vehicle (USV) market through a partnership with U.S. marine-technology firm HavocAI. Samsung Electronics rose 4 percent to 104,500 won after reporting third-quarter operating profit of 12.1 trillion won, up 33 percent on year, with its Device Solutions division delivering a stronger-than-expected 7 trillion won profit. SK hynix was nearly flat, inching up 0.2 percent to 558,500 won as foreign investors such as J.P. Morgan took profits after Wednesday’s record-setting rally. Japan’s Nikkei 225 slipped 0.2 percent to 51,180. Sumitomo Electric gained 5 percent to 5,253 yen, and Advantest added 4 percent to 23,000 yen, while exporters with minimal U.S. manufacturing presence underperformed, with Komatsu plunging 6 percent to 5,220 yen. China’s Shanghai Composite inched down 0.1 percent to 4,010, while Hong Kong’s Hang Seng Index rose 0.7 percent to 26,540. Taiwan’s TAIEX slipped 0.2 percent to 28,280. 2025-10-30 11:01:11

HOT STOCK: Power equipment stocks rally on Saudi contract, US nuclear cooperation hopes SEOUL, October 29 (AJP) - Shares of South Korean electrical-equipment makers, particularly transformer manufacturers, climbed sharply on Wednesday after a consortium led by Korea Electric Power Corporation (KEPCO) was named the preferred bidder for a major wind power project in Saudi Arabia — a decision that investors saw as a boost for Korean exports in the energy-infrastructure sector. Saudi Arabia’s Ministry of Energy announced Tuesday that the KEPCO consortium had been selected to develop the Dawadmi Wind Independent Power Producer (IPP) project in Riyadh Province, about 250 kilometers west of the capital. The project, estimated at 9 billion Saudi riyals ($2.4 billion), will generate up to 1,500 megawatts, or 1.5 gigawatts — roughly equivalent to the output of a nuclear reactor. It marks the first time a South Korean consortium has secured a gigawatt-class power generation contract in Saudi Arabia. The massive scale of the project is expected to drive strong demand for high-voltage transformers, a key component for transmitting and regulating the plant’s electricity output. That expectation sent transformer-related stocks higher across the KOSPI. Hyosung Heavy Industries rose 4.4 percent to close at 1.99 million won ($1,396), extending gains after recent strong earnings. The company, already a major supplier to North America and Europe, has steadily expanded its footprint in the Middle East, where second-quarter 2025 sales accounted for about 6 percent of total revenue. HD Hyundai Electric added 1.6 percent to 852,000 won, while LS Electric jumped 9.2 percent to 420,000 won, leading the rally as investors anticipated potential new orders from the KEPCO-led project. The surge reflects both optimism surrounding Saudi contracts and the sector’s robust fundamentals. HD Hyundai Electric reported 3.32 trillion won in revenue and 669 billion won in operating profit last year — more than double the previous year’s figures. Hyosung Heavy Industries posted 4.9 trillion won in revenue and 363 billion won in operating profit. Analysts expect the trend to continue: Mirae Asset Securities projects HD Hyundai Electric’s 2025 revenue will reach 4.03 trillion won, with profit margins rising to 22.7 percent. Investor sentiment also drew strength from expectations of deepening Korea–U.S. energy cooperation. Seoul and Washington are reportedly discussing a policy initiative known as “Make American Nuclear Cooperation Great Again,” or MANUGA, aimed at revitalizing America’s nuclear industry. Extra-high-voltage transformers — a specialty of South Korean firms — are critical for distributing power from nuclear plants, positioning Korean manufacturers as likely beneficiaries of the proposed collaboration. President Lee Jae Myung and President Donald Trump discussed energy cooperation on Wednesday during the APEC 2025 summit in Gyeongju, further bolstering market enthusiasm. “South Korea will contribute its expertise in nuclear construction, equipment, and operations to new U.S. reactor projects,” said Hwang Sung-hyun, a researcher at Eugene Investment & Securities. “In return, the U.S. aims to rebuild its nuclear infrastructure and enhance energy security — positioning Korea not just as an exporter, but as a strategic partner in America’s nuclear renaissance.” 2025-10-29 17:10:46

Asian shares mostly higher early Wed; KOSPI and Nikkei lead on chip momentum SEOUL, October 29 (AJP) - Asian markets were mostly higher early Wednesday, with Seoul and Tokyo continuing to set the pace for the region on the back of strong third-quarter earnings and ongoing enthusiasm for AI-related chips. Sentiment was also supported ahead of a potential U.S. Federal Reserve rate cut expected at this week’s FOMC meeting. Korea’s benchmark KOSPI rose 0.7 percent to hover around 4,040 after jumping 1.27 percent earlier, driven by a fresh rally in SK hynix following its record third-quarter performance. Retail investors maintained a hectic buying streak, adding 71.3 billion won ($49.8 million) in net purchases, while institutional profit-taking was largely absorbed by long-term investors such as pension funds. SK hynix outperformed with a 3.17-percent rise to 538,000 won after reporting a record operating profit of 11.38 trillion won ($7.9 billion) for the quarter. The company also confirmed it had finalized 2026 high-bandwidth memory (HBM) supply volumes with key clients including NVIDIA. Samsung Electronics, however, struggled to hold its recent milestone. The stock rose about 0.7 percent to 100,200 won as of 10:30 a.m., but showed little appetite for further gains. Despite better-than-expected quarterly earnings and plans to unveil its new “trifold” smartphone at APEC 2025, investors remained cautious ahead of NVIDIA CEO Jensen Huang’s visit to Korea and the results of NVIDIA’s HBM4 qualification process. Transformer-related stocks led broader gains. Hyundai Engineering & Construction surged more than 8 percent to 74,500 won after reports that a KEPCO-led consortium won a wind-power project in Saudi Arabia, boosting expectations for transformer demand. The momentum lifted LS Electric more than 6 percent to around 410,000 won and Hyosung Heavy Industries over 3 percent to 1.99 million won. Iljin Electric edged up only 0.7 percent to 51,800 won, with analysts noting it is less likely to benefit from the new orders. Among battery makers, Samsung SDI posted the strongest performance, climbing more than 6 percent to 331,000 won for a second day. Although its third-quarter results were soft, investors anticipate a fourth-quarter rebound driven by growing share in the North American energy storage system market and new electric-vehicle battery supply deals with Stellantis. In Tokyo, the Nikkei 225 rose more than 1.2 percent to around 50,850, supported by industrial and technology names after Japan and the United States announced a new joint investment framework the previous day. Hitachi, a nuclear-related heavyweight, gained 3 percent to 4,815 yen ($31.76), while Panasonic Holdings climbed over 2 percent to 1,866 yen. Mitsubishi Electric, a key supplier of power-grid solutions, jumped 4 percent to 4,240 yen. Advantest was the day’s standout, soaring 15.5 percent to about 20,900 yen, riding the global semiconductor rally sparked by the record results of Samsung Electronics and SK hynix. Across the region, Taiwan’s TAIEX advanced about 1 percent to 28,230. China’s Shanghai Composite Index briefly topped the 4,000 mark on Tuesday on optimism over potential progress in U.S.–China trade talks, but failed to maintain momentum as investors locked in profits. Markets also remained alert to how China’s economy may react to anticipated U.S. rate cuts. Hong Kong’s Hang Seng Index was closed for the Chung Yeung Festival holiday. 2025-10-29 11:26:21

Asian shares broadly down Tuesday as Seoul, Tokyo retreat on profit-taking SEOUL, October 28 (AJP) - Asian markets ended mostly lower on Tuesday, with Korea and Japan pulling back after their record-setting rally in the previous session. Korea’s benchmark KOSPI fell 0.8 percent to close at 4,010.41, pressured by heavy foreign selling. Overseas investors offloaded 1.64 trillion won ($1.14 billion) worth of shares, while retail investors bought 1.57 trillion won and domestic institutions added 311.4 billion won, signaling broad profit-taking after a near uninterrupted two-week surge. The pullback centered on biggest winners Samsung Electronics and SK hynix, which fell 2.45 percent to 99,500 won and 2.62 percent to 521,000 won, respectively. HD Hyundai Heavy Industries plunged 4.81 percent to 594,000 won after investors dismissed the possibility of U.S. President Donald Trump visiting a Korean shipyard during his APEC-week trip. Some stocks, however, bucked the decline. Doosan Enerbility jumped 5.49 percent to 86,400 won after announcing a supply contract with U.S. firm Fermi America for nuclear reactor components, reinforcing expectations that it will benefit from Washington’s “Make American Nuclear Cooperation Great Again (MANUGA)” initiative. Samsung Heavy Industries extended Monday’s rally, rising 2.92 percent to 29,950 won on strong momentum behind its self-developed LNG tank technology and recent floating LNG project wins. Samsung Biologics gained 2 percent to 1,232,000 won after reporting a 115.3 percent on-year jump in operating profit to 728.8 billion won. Investors also took positions ahead of its trading suspension starting Thursday due to a planned spin-off. In Japan, the Nikkei 225 slipped 0.58 percent to 50,219.18 as investors locked in profits following Monday’s record close. Defense-related stocks, which had rallied sharply in recent weeks, reversed course — Kawasaki Heavy Industries tumbled 5.03 percent to 11,995 yen ($78.83). By contrast, Furukawa Electric surged 6.34 percent to 10,460 yen on reports that the United States and Japan had agreed on a new rare-earth cooperation framework. Elsewhere in the region, losses were more modest. China’s Shanghai Composite slipped 0.22 percent to 3,988.22, while Taiwan’s TAIEX eased 0.16 percent to 27,949.11. As of 4:30 p.m., Hong Kong’s Hang Seng Index was down around 0.5 percent, trading near 29,260. 2025-10-28 17:04:11

Hanwha Ocean stock cools after KRX flags overheating amid 11-fold jump in Q3 profit SEOUL, October 28 (AJP) - Hanwha Ocean’s red-hot rally lost steam Tuesday after the Korea Exchange (KRX) warned of overheating in the shipbuilder’s stock, which has surged more than 20 percent this month on anticipation of blockbuster quarterly earnings. Shares of Hanwha Ocean fell about 5 percent to 132,300 won ($92.16) by midday after the KRX designated the stock as an “issue of investment caution,” citing excessive volatility in price and trading volume. The stock recently drew the second-largest margin loan balance on the market after SK hynix. On Monday, Hanwha Ocean reported 289.8 billion won in operating profit for the July–September period — more than 11 times the 25.6 billion won earned a year earlier. Revenue rose 11.8 percent on year to 3.02 trillion won. The turnaround was largely driven by a surge in commercial-ship deliveries, which accounted for 2.46 trillion won, or 82 percent of total revenue, with the segment’s operating margin staying strong at 12.5 percent. High-value vessels, particularly liquefied natural gas (LNG) carriers, were cited as the main growth driver. “LNG carriers are expected to represent about 60 percent of our total revenue this year,” a company official said. “As related projects continue to be recognized, we expect to sustain solid profitability.” Further upside may come from the defense sector. Hanwha Ocean and HD Hyundai Heavy Industries have formed the “Team Korea” consortium to bid for Canada’s Patrol Submarine Project (CPSP), competing against Germany’s ThyssenKrupp Marine Systems (TKMS). The deal, if won, could open access to a market worth an estimated 60 trillion won. On Oct. 22, Hanwha Ocean launched the 3,600-ton diesel-electric submarine Jang Yeong-sil, underscoring its expanding naval shipbuilding capabilities. The company also plans to submit a letter of intent for Poland’s Orka submarine program, which calls for the construction of three vessels valued at around 8 trillion won, potentially deepening its foothold in Europe’s defense market. Meanwhile, Hanwha Philly Shipyard — the company’s U.S. unit acquired last December and central to the Korea–U.S. “Make American Shipbuilding Great Again” initiative — remains in a turnaround phase. It posted third-quarter revenue of 172 billion won but an operating loss of 39 billion won. Still, the yard’s backlog of 4.3 trillion won suggests a return to profitability once key contracts are delivered. Analysts expect Hanwha Ocean to maintain solid earnings momentum through steady LNG-carrier demand and new defense opportunities. According to Yuanta Securities Korea analyst Kim Yong-min, LNG-carrier revenue is projected to rise about 2 percent in the first quarter of 2026, while “a major event in the defense segment could further boost the stock.” Kim added that container-ship sales may dip temporarily but rebound by the third quarter of 2026, with revenue from very large crude oil carriers (VLCCs) increasing roughly 8 percent. 2025-10-28 13:35:14

KOSPI and Nikkei hit record highs as Asian stocks ride wave of foreign buying SEOUL, October 27 (AJP) - Asian shares surged Monday as South Korea’s KOSPI and Japan’s Nikkei 225 both closed at all-time highs, driven by renewed foreign buying and strength in semiconductor and industrial stocks. The benchmark Kospi jumped 2.57 percent to finish at 4,042.83, marking its highest close on record. Chipmakers Samsung Electronics and SK hynix once again led the advance, joined by shipbuilding and nuclear-energy plays. Samsung Electronics surged 3.24 percent to 102,000 won ($71.18), breaking the symbolic 100,000-won barrier for the first time, while SK hynix soared 4.9 percent to 535,000 won, also reaching a record high. According to the Wall Street Journal, the KOSPI has emerged as one of the world’s best-performing equity markets this year, rising nearly 70 percent and far outpacing the Nikkei’s 24 percent gain, Germany’s DAX at 22 percent, and Britain’s FTSE 100 at 18 percent. The MSCI All Country World ex-U.S. Index, which tracks both developed and emerging-market stocks, is up around 26 percent in 2025. Samsung and SK hynix together accounted for more than half of the Kospi’s total gain over the past four months, underscoring the dominance of Korea’s chip sector in the market’s surge. In Tokyo, the Nikkei 225 climbed 2.46 percent to a historic 50,512, lifted by defense and semiconductor stocks amid optimism over new Prime Minister Sanae Takaichi’s “Strong Japan” policy agenda. Kawasaki Heavy Industries jumped 9 percent to around 12,600 yen, while chip-testing equipment maker Advantest gained 6.5 percent to 18,200 yen. Elsewhere in the region, Taiwan’s TAIEX rebounded 1.68 percent to 27,993.63 after a holiday break, while China’s Shanghai Composite Index rose 1.2 percent to just under 3,997 as of 4:15 p.m. (KST). The broad-based rally reflects growing investor confidence in Asia’s manufacturing and tech recovery, supported by global demand for artificial-intelligence infrastructure and easing concerns over U.S. interest rates. 2025-10-27 16:47:03

HOT STOCK: Samsung Heavy flies to 52-week high on multiple upsides SEOUL, October 27 (AJP) - Samsung Heavy Industries surged Monday to a new 52-week high on multiple catalysts — the successful domestication of its liquefied natural gas (LNG) storage-tank technology, speculation over a possible visit by U.S. President Donald Trump to its shipyard during APEC 2025, and a string of new orders. Shares of Samsung Heavy jumped about 16 percent to 28,800 won ($20.1) as of 3 p.m., nearly tripling from roughly 11,000 won at the start of the year. The rally followed the company’s announcement Monday morning that its first vessel equipped with the independently developed KC-2C liquefied LNG storage-tank system had completed a successful trial voyage. Until now, Korean LNG carriers had relied on the membrane-type containment systems exclusively licensed by France’s Gaztransport & Technigaz (GTT), forcing domestic shipbuilders to pay substantial royalties. According to Democratic Party lawmaker Kim Jung-ho, Korean shipbuilders paid a total of about 7.4 trillion won in royalties to GTT between 1995 and this year. Samsung Heavy’s KC-2C design is reportedly comparable to GTT’s membrane system but more efficient in both construction and operation — and, crucially, free from costly licensing fees. Investor sentiment was also lifted by a swelling orderbook. U.S. LNG company Delfin Midstream has chosen Samsung Heavy as contractor for its first floating liquefied natural gas (FLNG) production unit off the coast of Louisiana, with the second and third units expected to follow. FLNG facilities extract and liquefy gas at sea before loading it directly onto tankers — a technically demanding process requiring advanced offshore-engineering capabilities. The deal marks a major turning point for Samsung Heavy’s offshore-plant division, which has logged more than 1 trillion won in losses in recent years. The builder also secured a major FLNG order from Italy’s ENI Coral in July for a project in Mozambique, putting it close to meeting its annual order target. Should Delfin proceed with two more plants, the company is likely to achieve the target in full. Momentum is also returning to the container segment. Taiwan’s Evergreen Marine last week placed an order for seven container vessels — a welcome boost in a market where Chinese shipyards still command more than 70 percent of global capacity. According to IBK Securities analyst Oh Ji-hoon, Samsung Heavy’s third-quarter consolidated operating profit is expected to reach 120 billion won, up roughly 58 percent from a year earlier. “If the company secures the remaining FLNG and LNG contracts, it should comfortably hit its annual targets, with offshore-plant revenue leading the earnings improvement,” Oh said. Speculation that President Donald Trump may visit a Korean shipyard during his APEC tour further buoyed the sector. As of 3 p.m., HD Hyundai Heavy Industries rose 4.6 percent to 620,000 won, while Hanwha Ocean gained 3.3 percent to 139,500 won. Nam Chae-min, a researcher at Korea Investment & Securities, said Samsung Heavy “outlined multiple collaboration plans with U.S. shipowners during a recent conference call,” adding that a Trump visit could accelerate discussions on the MASGA Project, a proposed maritime-technology partnership between the two nations. 2025-10-27 16:46:55