Donald Trump, the U.S. president-elect, said that he could use 'allies' to build U.S. Navy vessels, and shipbuilding stocks have shown strong gains.
Hanwha Ocean shares traded at 39,650 won on the KOSPI market at 9:09 a.m. on the 7th, climbing 4.07% (1,550 won) from the previous day. At the same time, the so-called 'Big Three' shipbuilders, including HD Hyundai Heavy Industries and Samsung Heavy Industries, recorded a stock price increase of around 3%.
Related stocks such as HD Hyundai Marine Solutions, Hanwha Engine, and HYUNDAI HYMS also displayed strength.
Investors have expressed optimism that domestic shipbuilders can win contracts to build U.S. Navy vessels. The president-elect appeared on the conservative Hugh Hewitt radio show on the 6th (local time) and noted, 'We will announce something good, really good, related to the Navy.' He added, 'We don’t have the dock and the ships are not ready. We will order from other countries until we are prepared.'
The president-elect noted that during a phone call with President Yoon Suk-yeol shortly after the presidential election in November last year, he was well aware of South Korea's world-class warships and shipbuilding capabilities and emphasized the need for close cooperation with South Korea not only for our ship exports but also in the fields of maintenance and repair.