Korea Marine Transport Co., Ltd (KMTC) has signed a shipbuilding contract with HD Korea Shipbuilding & Offshore Engineering (HD KSOE), the intermediate holding company for HD Hyundai Group’s shipbuilding business, for ships to be deployed on routes to North America and Mexico.
South Korean media reports that HD KSOE has signed a contract with KMTC to build four 13,000 TEU Neo-Panamax container ships. The new ships, which will use conventional fuels, will cost approximately US$150 million each, bringing the total value of the four ships to approximately US$600 million.
KMTC is a regular customer of HD KSOE and has ordered ships from it many times.
In November 2024, KMTC placed an order with HD KSOE for two 8,700 TEU container ships. These ships, to be built by HD Hyundai Samho, are scheduled for delivery by March 2027, with a construction cost of approximately US$115 million each. This order marks KMTC’s first order four years after its previous order for two 2,500 TEU container ships, the KMT Seoul and KMT Dalian, from HD Hyundai Mipo in 2020.
By joining forces with HD KSOE once again to build ships, KMTC aims to expand its fleet and resume services on routes to the Americas and Mexico, thereby expanding its influence in the global shipping market.
Currently, KMTC operates vessels with a maximum capacity of 8,000 TEU. If the above order is officially announced, it will be the largest container ship KMTC has ever ordered.
It is reported that KMTC has launched and operated the “Asia-North America West Coast Service” (APX) since June. Due to rising freight rates and a surge in cargo volume, the American routes have a high share among global shipping companies. KMTC is currently conducting joint services with Singapore’s SeaLead Shipping and Taiwan’s TS Lines, aiming to re-enter the Pacific routes.
In May of this year, KMTC joined the Asia-Mexico Express (AMX) container route. Container freight volume between South Korea and Mexico continues to grow, and KMTC’s entry into the Mexican route is expected to further boost trade between the two countries.