fully integrated logistics - hyundai · with an estimated 186-strong fleet as well as 4 ......
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fully integrated logisticsOperating across many countries around the world
with an estimated 186-strong fleet as well as 4
regional headquarters and 26 overseas subsidiaries,
Hyundai Merchant Marine (HMM) is a central player
in the global maritime industry. Expanded container
terminals and trade routes, advanced IT systems,
investments in intermodal services and Container/
Bulk unit carriers, as well as the effective utilization of
talented company personnel, will all help HMM meet
challenges head-on and stay at the forefront of the
global economy.
Encompassing intelligent business strategies keeps the company
moving forward and onwards. Because HMM maintains an ideal
balance between the container and bulk ship divisions, it can sustain
consistent growth regardless of fluctuations in particular business
areas. Profitability is derived from the company’s careful analysis of
market trends, its development of mid- to long-term growth streams
through overseas expansion, and its vital investments in terminals
and IT infrastructure, to keep ahead of the pack.
keeping the world moving
We carry the future!
The world is not static and neither is HMM. The company’s flexible
organizational structure has enhanced its ability to adapt to the rapidly
changing conditions of the global marketplace. Innovative reforms such
as bolstering its management environment, strengthening its work
processes across the company, and reaffirming central mid- and long-
term visions have enabled HMM to respond more quickly and efficiently.
flexibility with no equivalent
We carry the future!
We carry the future!
For the past 36 years, supplying the necessary capacity as a leading
integrated logistics company has kept HMM at the forefront of global
shipping services. Both its vast range of around 186 vessels – including
container ships, oil and gas tankers, tramps and project cargo ships – and
its interconnected navigation routes have enabled the company to sustain a
global network that reaches every corner of the world.
adding capacity to the world
We carry the future!HMM’s ambitions expand far beyond its recent successes. Though in the
past 36 years the company has made essential contributions to Korea’s
economic development and the global maritime industry, it is still
dedicated to making that further step – becoming the world's leading
integrated logistics company. Pursuing sustainable growth externally and
organizational progression internally will enable HMM to set the standard
in global logistics and value.
leadingexcellence and growth
Hyun Jeong-EunHyundai Group Chairman
GREETINGS FROM THE GROUP CHAIRMAN
Dear Customers,Hyundai Group’s new slogan is: "Dream it, Make it!" Every time I see this slogan it reminds me of the story behind the establishment of Hyundai Merchant Marine. In 1976, Korea had succeeded in building three VLCCs from scratch. However, ignored and rejected by overseas companies, these newly built vessels lay idle and unwanted.
Fortunately, someone had the dream of creating a top-notch Korean shipping company with these unpromising rejects. That vision was the beginning of Hyundai Merchant Marine.
After 36 years of hard work, that dream has been realized. HMM, starting with only three tankers, has now over 180 state-of-the-art vessels and has become a leading global integrated-logistics company operating over 110 overseas subsidiaries and branches in 31 countries. This is where "Dream it, Make it!" can be seen to be much more than just a catchy slogan.
Of course, everyone at HMM has worked tremendously hard and has confronted innumerable challenges to get us where we are. But, most of all, our success has been possible only because you, the customers, have put your trust in us and given us your total support.
Dear Customers,
Now we would like to have you join us in an even greater venture in which there will be many challenges to overcome. However, as the saying has it: “If you don’t have a dream, you can’t ever have a dream come true.” From now on, we will be intent on realizing our new vision.
HMM is an able and experienced company that has led Korea's shipping industry through many hard times.
With our customers' support, all at HMM will seek to become the world's best integrated-logistics company with world-leading competitiveness; we will be satisfied with nothing less than the total realization of that ambitious dream. HMM is recognized as being the main affiliate of Hyundai Group, and is confident of being at the center of its successful future. Please watch this space to read about the realization of HMM’s dreams and challenges! Thank you.
Lee Suk-HuiHyundai Merchant Marine Co., Ltd. President & CEO
GREETINGS FROM THE PRESIDENT & CEO
Lee Suk-HuiHyundai Merchant Marine Co., Ltd. President & CEO
Please let me express my deepest gratitude to you for your loyal support of Hyundai Merchant Marine.
Since the beginning, the focus of everyone at HMM from the boardroom to the terminal has remained unchanged: to help customers realize their dreams and to deliver happiness to them.
Last year, HMM faced down the challenges of a constantly changing global maritime market by making aggressive investments to ensure we continue to provide the highest level of integrated logistic services.
We invested KRW 770 billion in vessels, ports, container facilities, and IT. HMM also invests in our people. And, we will continue to provide educational opportunities and skills training for employees as a means of grooming the future leaders of the company and maritime industry experts.
HMM has deliberately positioned itself as a leading green company. From the sea to the earth, HMM is constantly striving to better life for all of humankind, as well as enhance the value of its business through green management.
A wise man once said, “The important thing is not so much where you stand, but in what direction you are moving.” This observation encapsulates HMM’s drive as the world’s leading integrated-logistics company.
With trust and confidence of all our customers, HMM has dedicated itself to achieving this aim.
I personally resolve that Hyundai Merchant Marine — which consists of experts unrivaled in the shipping and logistic industry — seeks to develop the best solutions for all its customers and contributes to enhancing the happiness of the global community.
HMM will do everything to provide you with a superior service, and is eager to respond positively to your valued comments and insights.
Thank you.
Dear Customers,Hyundai Merchant Marine came into existence 36 years ago with just three VLCCs, and it has been our privilege to serve and grow with you.
4Ttrust
talent
tenacity
togethernessRepresenting a central part of Hyundai
Group’s scope and corporate culture,
the themes of Trust, Talent, Tenacity and
Togetherness will unify and guide HMM
through whatever lies ahead. Both external
and internal challenges will be met in
unison with the combined efforts of all.
Without compromise, the caliber of 4T will
bring the eminent potential of HMM to the
fore to carry the success of the business to
new heights.
tTrust and Value_18 | HMM in a Glance_19 | Securing Steady Growth_20 | Strengthening Social Contributions_22
ABOUT HMM
With around 186 state of the art vessels, shipping routes that
connect the whole world like a spider web, and a vast global
network that reaches every corner of the world, HMM has been
successful in earning its customers’ trust. HMM’s diversified
business portfolio is ideally balanced between the container
ship division and bulk ship division. This ensures stable growth
unaffected by fluctuations in market conditions of a particular
business area, making HMM a company that investors can
trust with their investments and trust into. HMM offers 24-hour
services for rapid shipment of goods, and is a global shipping
industry leader in e-business – offering a variety of e-services to
provide customers with convenient and accurate support. HMM
will not let any circumstances limit its potential and will continue
to create corporate value to maintain ‘Trust’ with customers
and shareholders. Plus in order to offer more valuable ‘Trust’ to
customers and society, the company will actively play a part in
social contribution efforts. HMM will endeavor to stand tall as
the ‘world’s top logistics company that creates value’ – sincerely
taking its responsibilities as a contributing member of society.
Trust and Value+ DATE OF FOUNDATION : March 25, 1976
+ PRESIDENT & CEO : Lee Suk-Hui
+ TRADE : Maritime logistics
+ CAPITAL : KRW 816.4 billion
+ OVERSEAS ORGANIZATIONS : 4 regional headquarters
(America, Europe, South-East/West Asia, and China),
26 overseas subsidiaries, 75 branches, 3 overseas offices
+ NUMBER OF EMPLOYEES
- Stable Business Portfolio
- Exceptional Service Quality
- Securing New Growth Engines
- Strengthening Social Contributions
BUILDING TRUST BY
GENERATINGSTEADYPROFITS
ESTABLISHING TRUST BY
ACCOMPLISHING SOCIAL
RESPONSIBILITIES
HMM IN A GLANCE
Ground Crew Onboard Crew Overseas Employees Total Number of Employees
916 703 2,377 3,996
(As of Mar. 2012)
LEADER IN E-BUSINESS As the frontrunner of e-business in the maritime shipping industry, HMM provides
clients with access to a great variety of e-services. The company’s website(www.hmm21.com) provides the first rate e-services covering the entire shipping process from checking up the schedules to notifying cargo arrivals. HMM also developed the IVMS(Integrated Vessel Management System) which assists real-time vessel management in the aspects of curtailing the costs of vessel operation and shortening shipping time as well as ensuring safety. From 2010, the Enterprise Resource Planning(ERP) system has enabled HMM to comprehensively manage both human and material resources among 108 overseas organizations in 31 countries across the world. HMM opened a mobile website “HMM SMART(m.hmm21.com)” in 2010, which is optimized for smart phone users. Through “HMM SMART”, customers are able to access their shipping information through their smart phones wherever and whenever they want.
GAUS - In January 2012, HMM introduced a "GAUS(Global Advanced & Unified System)", which helps to gain the ability of competitive advantage to respond for any possible changes by alternating current working procedure, information and logistics to the customer-oriented process in global business environment. GAUS improves its work process of Liner, Bulk Unit and Global Logistics Division in HMM. GAUS especially reinforces its CRM(Customer Relationship Management) and SCM(Supply Chain Management) system. GAUS provides customized and faster shipping service and satisfaction to customers. GAUS will support HMM to achieve a sustained growth.
LEADING INDUSTRY AWARDS RECOGNIZING HMMHMM’s dedication to the qualified services was reflected in the many certificates and awards that the company has received over the years: AEO(Authorized Economic Operator) which is the accreditation from the Korea Customs Service and European Customs, C-TPAT (Customs-Trade Partnership Against Terrorism) certification by CBP(U.S. Customs and Border Protection), the Green Flag award from the Long Beach Harbor department in the U.S., the Safety Award from the PMA (Pacific Maritime Association) in the U.S., and the ISO Award from DNV (Det Norske Veritas) in Norway, to name just a few.
Commercial and distribution companies were also keen to reward HMM for its exemplary practices. Such companies include: SONY, the electronics retailer Best Buy, SAMSUNG, Toys R Us, Home Depot, the packaging materials manufacturer Tetra Laval, and the distribution company Target. In particular, SONY appointed HMM as a Global Partnership Carrier for eight consecutive years up to 2011, and Best Buy, the U.S. electronics retailer, granted HMM as “The Best Supply-Network” at Ocean Carrier of the Year Award for seven years until 2010.
Shipping industry publications such as Logistics Management , World Trade , Distribution were no exceptions as well. HMM’s ongoing carrier success was further illustrated when it achieved the Quest for Quality award by the U.S. logistics magazine, Logistics Managemen t for ten years up to 2011. In 2010, HMM was honored by LOG-NET, the leading integrator of ocean carriers, with its 2009 award for electronic commerce excellence. It was derived from customers who evaluate the e-commerce qualities of shipping companies.
ABOUT HMM | TRUST AND VALUE t
Securing Steady GrowthA STABLE PORTFOLIO
HMM's business portfolio explains that the proportion of the container sales to the bulk ones is 60 to 40. Based on these ideal numerical values, HMM successfully secures stability and growth. In addition to the main fleet of containerships, HMM runs the largest fleet of oil and LNG tankers in Korea, and a diverse fleet of bulk carriers. A well-balanced business portfolio has enabled the company to make constant profits, which shows its steady growth even under the severely fluctuating market circumstances.
CREATING NEW GROWTH ENGINESIn Asia-Europe trade HMM has formed the world’s largest shipping alliance 'G6' in December 2011. The G6 Alliance members are the carriers in the New World Alliance and Grand Alliance: HMM, APL, MOL, Hapag-Lloyd, NYK, and OOCL.
The G6 Alliance launched six service-lanes connecting Asia and North Europe in the first week of March and a new Asia-Black Sea Express in April. The G6 operates the existing Asia-Mediterranean Express. The newly joint services make up the most comprehensive coverage in the trade and provide improved shipping services to customers.
From March 2012, five ships of 13,100 TEUs were deployed on the Asia-North Europe. The number of mega vessels operated by G6 which are scheduled to deliver in 2012 will be seventeen for 202,600 TEUs. In response to the change of container shipping market — deployment of mega ships, HMM ordered 10 container ships including five 13,100 TEU container ships in 2011. HMM will get benefits from operating mega vessels as minimizing carbon emission and increasing the efficiency of bunkers.
Besides, HMM has continuously strengthened its terminal services. In February 2012 HMM and Shandong Province Communication and Transportation Group established their joint venture which began developing a ODCY(Off-Dock Container Yard) in Qingdao. The ODCY will have an area of 59,334m2 which is able to handle 250,000 TEUs annually. In March 2012, WUT(Washington United Terminals) succeed to attract 560,000 TEU cargoes of GA Alliance(Hapag-Lloyd, NYK, OOCL) and ZIM. Through this contract WUT will have annual capacity of 790,000 TEUs.
Furthermore, HMM remains committed to reducing costs, maximizing investment efficiency and managing top personnel, all of which ensures further profit and productivity as one of the world’s top integrated-logistics companies.
HABITAT FOR HUMANITY HMM volunteers participate in a “Habitat for Humanity” venture to build houses for families in need.HMM staffs worked in a sweat on ceiling constructions and laying insulations in one of the new houses in Yangpyeong, Gyeonggi-do for 2 times last year. Total of 56 staffs volunteered throughout the year.
VOLUNTARY SERVICE BY EMPLOYEESHMM employees share their social contributions by volunteering to organize small-scale events for the community. HMM Women’s Club collects funds every month to make regular donations to non-profit organizations such as the Beautiful Foundation and the Disabled People’s Welfare Center. Other social contributions were made through raising funds by selling carnations on Parents’ Day, organizing one-day beer houses, and participating in the ‘Anabada’ (Save, Share, Exchange, and Reuse) campaign. Besides, HMM regularly serves lunch for “Raphel’s Center”, a home for severely-disabled children. With these well organized voluntary services, HMM has built up its dedication and commitment to the community in various ways.
‘BAPPUR’(FREE MEAL SERVING) VOLUNTARYHMM staffs took part in the ‘Bappur’ (free meal serving) voluntary for the homeless and itinerants, and for isolated senior citizens at a soup kitchen in Seoul. The voluntary activities went through about 10 times. Total 420 staffs were participated in the activities. HMM delivers various community services and builds up its social responsibility of sharing to enrich the world.
MERCHANT-SHIP CLASS FOR CHILDRENEvery year, HMM also provides underprivileged children with “Merchant-ship Class”, the invitation program which includes field trip and learning class on ships and maritime life. Since 2008, this annual activity has sought to develop the maritime dreams and ambitions of children being helped by charity organizations.
Strengthening Social Contributions
ABOUT HMM | TRUST AND VALUE t
tHMM SERVICES
Talent and Capacity_24
LINER UNIT | Container Service_26 | Terminal Service_31 | Intermodal Service_34
BULK UNIT | Gas Carrier Service_36 | Tanker Service_38 | Tramp Service_40 | Bulk Liner Service_42 | Heavy Lift & Project Service_44
HMM’s numerous talents can be found in its most advanced fleet,
specialized shipping staff, and its global marketing network, all
of which ensure the fleet’s competitiveness of HMM as the world
class level. From 13,100 TEU container vessels, the superior
quantity in Korea, to feeder containerships, and some other wide
ranges of vessels have been connecting the world with its global
networks. In addition, HMM operates the nation’s leading tanker
fleets including 300,000 DWT crude tankers, product tankers,
chemical tankers, and nation’s largest 10 LNG vessels internally.
Besides, by operating various sizes of bulk carriers for raw
materials such as iron ore, coal, grain and so on, HMM has its
own unique talents to satisfy any needs from the customers.
Other key features at the heart of HMM’s driving force are its
exceptional global IT system and skilled shipping staff. They are
well experienced in the handling of the fleet, and forecasting
their market conditions accurately. As HMM carries strategic
investment of key terminals, secures mid- and long-term growth
engines and strengthens competitiveness through consideration
of marketing and profitability, the company will further utilize its
existing talents within its ranks and maximize the capacity of the
company.
Talent and Capacity LINER UNITContainer Service_26Terminal Service_31
Intermodal Service_34
In the beginning of 2012, HMM announced a plan to reach 3.2 million TEUs increased by 10% from last
year. In 2011, the container shipping industry hadn’t kept upward trend like 2010 and HMM’s result was
unfavorably affected by the market conditions. Nevertheless, many containership operators ordered mega
ships above 10,000 TEUs to make their own market share higher in the coming years, which instigates
current over-capacity condition.
Affected by increasing number of bigger ships, the outlook for 2012 is similar to the previous year. Many
carriers predict that the most prominent issue of 2012 is ‘to be survived or not’. In other words, competition
among carriers caused by over-capacity will be severer than ever. Moreover, fuel price is likely to rise
continuously. In these circumstances, HMM has endeavored to improve competitiveness in three fields –
service network, sales marketing and cost reduction for the purpose of reaching customers’ highest level
of satisfaction. With a total of 395 vessels including 65 operating vessels and 56 available services, HMM
will keep implementing our own survival tactics – strategic alliance, Super Sales Initiatives (SSI) and Total
Cost Reduction (TCR).
From the end of 2011, several containership carriers began to announce newly formed alliances to survive
in the midst of overcapacity situation. HMM also took part in establishing strategic alliance called G6 and
reorganized several services in the Europe trade. SSI has enhanced sales promotion activities such as
training program for sales experts and field-oriented management. TCR, cost-cutting scheme has reduced
expenditures by rationalization of service lanes, super slow steaming and efficiency of transportation
mode. HMM will succeed in attaining a sustainable growth in 2012 based on these strategies.
Container ServiceTaking part in strategic alliance ‘G6’, implementing SSI(Super Sales Initiatives) and TCR(Total Cost Reduction) will equip HMM to succeed in attaining a sustainable growth in 2012.
HMM SERVICES | LINER UNIT t
Asia-US TradeAs a main engine for container division, about 30% of containerships operated by HMM have been
deployed in the Asia-US trade. HMM has continuously strengthened our service network to provide
reliable and high quality transportation service to customers.
For more substantial service coverage, HMM launched New Savannah Express (NSE) service
connecting Asia and east coast of North America in May, 2011. While most of existing services from
Asia to east coast of North America link Savannah passing New York, newly launched NSE service
directly connects Asia with Savannah of USA, which shortens transit time by four days compared to
the previous one.
The number of services calling east coast of North America is five including NSE. There are nine
service lanes also connecting West Coast of North America with six to PS (Pacific Southwest)
Gateway and three to PN(Pacific Northwest) Gateway.
Intra-Asia TradeIntra-Asia trade consists of three parts – Asia-Middle East, Asia-India Sub continent and pure Intra
Asia. Asia-Middle East trade is the largest one taking approximately 50% of total revenues in the
Intra-Asia trade. This is a trade where the market volume grows by double digits and such a steady
and strong demand increase is largely supported by the strong purchasing power in the oil producing
countries. With market forecast being such robust, Middle East trade tends to remain vulnerable to
the cascading ships from the Trans-Pacific and Europe trades.
At the same time, political conditions remain unpredictable. In order to cope with possible
scenarios triggered by the political issues, HMM has been coming up with contingency plans. All
in all challenges are still around, but HMM is confident to generate profitability from our long term
marketing experience and strategies.
Emerging TradeIn 2011, HMM newly organized Emerging trade team for South America, Oceania, Africa and Russia.
Emerging trade has potential growth factors, so HMM will focus on strengthening new networks. In
2012, to cater for the market growth, HMM will deploy bigger vessels replacing existing one on the
service calling between North America and South America.
Asia-Europe TradeG6 Alliance - In late December of 2011, HMM announced newly formed G6 Alliance that includes
members of the New World Alliance – HMM, APL and MOL – and the Grand Alliance – Hapag-Lloyd,
NYK and OOCL. The G6 alliance launched six service lanes connecting Asia and north Europe in the
first week of March and a new Asia-Black Sea Express in April. The G6 operates the existing Asia-
Mediterranean Express.
Co-organized services by G6 will bring major changes in Asia-Europe trades and offer further
enhanced service coverage. HMM, before G6 Alliance, has operated 43 vessels on five routes in the
Asia-Europe market in cooperation with TNWA member companies. The newly joint services operated
by G6 provide a direct call at about 40 ports in 25 countries, which doubles the scale of existing
services. The new alliance is characterized by fast transit times and broad port coverage, as well as
the latest vessels with capacities of up to 14,000 TEU.
From March 2012, five ships of 13,100 TEU were deployed on the Asia-North Europe. The number of
mega vessels operated by G6 which are scheduled to delivery in 2012 will be seventeen for 202,600
TEUs. As a result, in the end of 2012, total mega containerships operated by G6 will be ten times
more than 2011. In response to the change of container shipping market – deployment of mega ships,
HMM ordered 10 container ships including five 13,100 TEU container ships in 2011. By operating
mega vessels, HMM will benefit from minimizing carbon emission and raising bunker efficiency.
In an effort to rationalize and further optimize its network between America and Europe, HMM
launched Americas Europe Express (AEE) in March. In the Trans-Atlantic trade, portion of refrigerated
cargo is higher than other cargoes and its profitability is higher. HMM is to focus on increasing
refrigerated cargo for stable profitability. Moreover, the AEE calls at Panama and it enables services
calling South America, America and Europe to connect continents more easily and to be linked
together.
G6-Cooperation
+
GATNWA
G6
Hyundai TenacityHyundai TogetherHyundai BraveHyundai CourageHyundai FaithHyundai ForceHyundai MercuryHyundai LoyaltyHyundai SplendorHyundai GlobalHyundai NavarinoHyundai BusanHyundai SingaporeHyundai ColomboHyundai BangkokHyundai JakartaHyundai ShanghaiHyundai Hong KongHyundai TokyoHyundai LongbeachHyundai TacomaHyundai OaklandHyundai NewyorkHyundai VancouverHyundai FreedomHyundai GeneralHyundai HighnessHyundai IndependenceHyundai DiscoveryHyundai LibertyHyundai ConfidenceHyundai DynastyHyundai VoyagerHyundai GoodwillHyundai IntegralHyundai SupremeHyundai ForwardHyundai UnityHyundai GraceHyundai DukeHyundai CommodoreHyundai FederalHyundai GloryNorthern PractiseNorthern PromotionHyundai TianjinSanta CruzSanta MonicaAthenaHyundai VladivostokHyundai AdvanceHyundai StrideHyundai FutureHyundai SprinterHyundai ProgressHyundai HighwayHyundai BridgeScio SunWilliam StraitWehr AltonaSilver BayHyundai HarmonyHyundai ConcordLaura AnnAndrea
GT
141,000141,00094,51194,51194,51194,51194,51194,51194,51194,51191,35474,65174,65174,65174,65174,65174,65174,65174,65171,78671,78671,78671,78671,78664,05464,05464,05464,05464,05464,05464,84551,36451,36451,36451,36451,36452,58152,85152,85151,83651,83651,84153,35247,85547,85541,89943,20943,21334,61021,61121,61121,61121,61121,61121,61121,61121,61118,00010,28216,80117,29513,26713,2679,9818,583
DWT
140,530140,53099,12399,12399,12399,12399,12399,12399,12399,123
102,30380,48080,48080,48080,48080,48080,48080,48080,48072,70072,70072,70072,70072,70068,51968,51968,51968,51968,51968,51968,04863,25463,25463,25463,25463,25463,40463,40463,40461,15361,15361,15363,40459,43159,43153,60038,59339,37635,55824,76624,76724,77724,79924,76624,77724,76724,77726,28823,60023,04022,28617,70017,70011,39011,150
Year Built
20122012200820082008200820092009200920092010200620062007200720072006200620062009200920092009201019961996199619961996199620032008200820082008200820072007200719921992199420042009201020061991199120031997199719971997199719981998199819902009199719982002200220012005
13,10013,100
8,6008,6008,6008,6008,5408,5408,5408,5408,3516,8006,8006,8006,8006,8006,7636,7636,7636,3506,3506,3506,3506,3505,5515,5515,5515,5515,5515,5515,5514,7004,7004,7004,7004,7004,7004,7004,7004,6514,6514,6514,6484,6004,5864,2983,1153,0622,7262,1742,1742,1742,1742,1742,1742,1742,1741,7521,7321,7301,5041,0321,032
868868
TEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEUTEU
Capacity
CONTAINER SHIP (As of Mar. 2012)
Vessel Name Terminal ServiceBenefits from an expanded pool of port and terminal facilities place HMM
in the prime position to access the fastest growing markets.
HMM SERVICES | LINER UNIT t
CUTCalifornia United Terminals is located in the Port of Los Angeles in Southern California, relocated from the Port of Long Beach in December, 2010. CUT is renowned for its efficient service and excellent location within the harbor, and it has played an important role in the PSW area as HMM’s main gateway to and from Asia. Over the years CUT has developed a coast-wide reputation for efficient and expedient turnaround of cargo and an unparalleled level of customer service. The new location is strategically located allowing for even greater and more comprehensive cargo handling capabilities, and the continued opportunity to exceed the customer’s expectations.
WUTWashington United Terminals is located in the Port of Tacoma, Washington. HMM’s main gateway to and from Asia, WUT has a 103.95-acre terminal, plus designated 23 acres of on-dock rail facilities which can provide non-stop connections directly between the vessels and trains for inland cargo. WUT added two additional Post Panamax cranes in early 2009, capable of lifting cargo of up to 100 tons in weight and 32.6 x 15.2 meters in size.
In March 2012 WUT succeed to attract 560,000 TEU cargoes of GA Alliance(Hapag-Lloyd, NYK, OOCL) and ZIM. WUT has handled cargoes of TNWA members only to date. Through this contract WUT will have annual capacity of 790,000 TEUs. This is three times more than last year, 230,000 TEUs. WUT received better points in excellent terminal facilities and its own railway transportations. WUT will invest 20 million dollars in equipment procurement such as eight additional yard cranes, IT facilities, and personnel recruitment. WUT is expected to grow in stature as one of the representative container terminal in the U.S. Northwest.
KHTKaohsiung Hyundai Terminal is located at Pier 118/119 of No.4 Container Terminal Center at Kaohsiung Port with a land area of 258,058 square meters. It has a 640 meter-long quay and 907,276 TEUs of annual handling capacity. KHT handles not only HMM cargo, but also third-party business cargo as a result of its successful sales division. To increase efficiency, 4 units of gantry crane, 11 units of rubber-tired transtainer, and 3 units of empty handler have newly been offered.
RWGRotterdam World Gateway is located in Rotterdam, the Netherlands. HMM was selected as one of its key operators in 2007, along with other major maritime companies such as DPW, APL, MOL, and CMA CGM. RWG will open in 2014 and aims to be one of the most efficient and fully automated terminals in Europe.
HPNTHyundai Pusan New-port Terminal is a world-class port with state of the art facilities, handling 2 million TEUs per year. HMM has adopted a 24-row capacity container crane with a tandem spreader system as well as an un-manned automatic yard crane (Rail Mounted Gantry Crane) for efficient operation. HPNT opened in February 2010 and aims to be one of the best productive terminal services in Asia.
Qingdao ODCYIn February 2012, HMM and Shandong Province Communication and Transportation Group (SDCTG) established their joint venture : Shandong Jiaoyun Hyundai Logistics Co.,Ltd. (SJHL). The amount of investment from each company is 50 million CNY. This joint venture began developing a ODCY (Off-Dock Container Yard) in Qingdao in March. The ODCY will have an area of 59,334m2 which is able to handle 250,000 TEU annually. With this ODCY in Qingdao, HMM will be able to provide customers with load, unload, storage, and delivery service through the one-stop service system.
Intermodal Service
HMM logistics has decade of experience and qualified service expertise in the international transportation and logistics business. We provide specialized inland service to all important economic regions via a dense network and integrated logistics facilities at the most important intersection.
HMM’s container business delivers quality door to door services rapidly across its global network. To retain its advantage, the company utilizes many facilities worldwide : HII (Hyundai Intermodal, Inc.) in the U.S., premium block train services in Europe, and various feeder and barge services in Asia.
HII provides the U.S. customers with Double Stack Train (DST) services ; Transcon services (a priority, nonstop rail provision between Los Angeles and New York) ; and direct services between Los Angeles and Atlanta. The subsidiary also offers valuable inland services that combine rail and truck transportation into one, whilst serving all major rail ramps in North America through its exclusive contract agreements with multiple rail carriers: BNSF, Union Pacific, Norfolk Southern, CSX, Canadian Pacific and Canadian National.
As a specialist in land transport in Europe, both by road and rail, we provide guaranteed block train service to inland areas (Slovakia, Poland, Hungary, Czech Republic, etc) with all related logistics services. We also enhance shipper’s convenience and satisfaction by creating an effective link between all modes of transportation.
From the Asian market, HMM uses its know-how and decades of experience to provide shippers with a resourceful inland connection system. In China, HMM provides Barge inland service with connecting from Hongkong to Pearl River Delta Area, and from Shanghai to Jiang River Area. As the economies of Asia — especially, China, India and Vietnam — continue to develop, HMM will keep on increasing its investment in depots, container yards , and other key infrastructure.
In response to the various needs of customers, we develop the value-added intermodal service through our worldwide logistics network and also operate a specific team to construct and implement diverse solutions for transportation, tailored to the logistics needs of shippers.
Exclusive inland arrangements with cutting-edge infrastructure
provide greater coverage in each of the crucial regions.
BULK UNITGas Carrier Service_36
Tanker Service_38Tramp Service_40
Bulk Liner Service_42Heavy Lift & Project Service_44
• U.S. WEST COAST INBOUND RAILROAD MAP
HMM SERVICES | LINER UNIT t
USCLE
USPIT
USBUF
Gas Carrier ServiceDedicated to maintaining its presence in the LNG and LPG markets,
the Gas Carrier Team will focus on fostering greater capacity.
HMM’s LNG carrier service was launched in 1994 as the first Korean LNG carrier ever. Since the first Korean flagged vessel “Hyundai Utopia” transported LNG cargoes from Indonesia to Korea, HMM has become the largest LNG carrier in Korea. With Korea Gas Corporation (KOGAS), HMM has established a 20~25-year-long term contract : currently its eight vessels (one on charter) convey KOGAS cargoes in diversified routes among Korea, Indonesia, Malaysia, Qatar, Oman and Yemen. In 2011, HMM carried 7.5 million tons of LNG, which is approximately 22% of the total 33.9 million tons of domestic imports.
HMM also won the bid for KOGAS’s Joint Venture Company Project, starting in the mid of 2009, in which the total of transportation reaches 3.5 million tons of LNG annually from Sakhalin and Yemen. HMM acquired an 18% ownership stake for four new LNG vessels, and a 20-year contract to operate one vessel (Yemen-Korea route) out of those four.
Given the continuous strong demand for clean and efficient energy in Korea, as well as in the world, the LNG market continues to grow faster than any other segments of the shipping industry. Under these circumstances, HMM will fulfill overseas LNG projects and play an important role in the worldwide LNG transport market. HMM will also develop and improve service capability, whilst closely cooperating with both domestic and overseas customers.
For LPG carrier service, it was launched in January 2006 with the long-term chartered VLGC, “DL Calla” and has provided high quality service based on spot trading and t/c out. HMM has a plan to operate a total of 3 vessels (VLGC) in 2012 and will expand the fleet continuously in the future, in the balance of market demand. We are ready to give the best service to the wide range of customers all around the world.
GT103,764
103,764
113,998
113,998
113,998
113,998
100,545
113,900
103,764
89,956
DWT71,910
71,684
77,584
77,591
77,564
77,513
83,959
91,732
71,909
71,041
Remark1994
1996
1999
2000
2000
2000
2008
2010
1994
1995
Owned
Owned
Owned
Owned
Owned
Owned
Ship Management
Chartered
Consortium
Consortium
125,000
125,000
135,000
135,000
135,000
135,000
145,000
177,000
125,000
131,000
CBM
CBM
CBM
CBM
CBM
CBM
CBM
CBM
CBM
CBM
LNG CARRIER (As of Mar. 2012)
Hyundai UtopiaHyundai GreenpiaHyundai TechnopiaHyundai CosmopiaHyundai AquapiaHyundai OceanpiaHyundai EcopiaAbdelkaderYK SovereignHanjin Pyongtaek
Vessel Name
LPG CARRIER (As of Mar. 2012)
GT DWT Capacity
Capacity
Year Built
Year Built
Vessel Name47,197
47,197
44,680
58,564
58,564
50,743
2008
2008
1990
82,000
82,000
78,000
CBM
CBM
CBM
Mill ReefMill houseDL Calla
HMM SERVICES | BULK UNIT t
Korea
Indonesia
QatarOman
Yemen
Malaysia
Sakhalin
Tanker ServiceWith growing contract commitments and a rising fleet,
the Tanker Team goes from strength to strength.
The tanker service has been at the center of HMM’s growth over the past few years, and the company aims to maintain its leading role. HMM’s tanker service is divided into 2 teams: Crude Tanker Team and Product Tanker Team. Its fleet consists of 18 crude tankers including 10 VLCCs, 8 product tankers and 4 chemical tankers.
Currently around 47% of the crude tanker fleet and 37% of the product tanker fleet (LR,MR) have long-term contract commitments, while the remainder operates in the spot market. Each sector — even each individual vessel — has different primary business routes. VLCC tankers are engaged in long-term contracts with domestic and foreign oil companies transport crude oil from the Middle East to the Far East; whilst VLCCs committed to the spot market operate from the Middle East or West Africa to destinations either in the Far East or the West. Smaller vessels, such as Aframaxes, MRs and chemicals, usually operate for short-haul trips between Southeast Asia and the Far East.
Fleet expansion necessitated that new staffs were posted to both London and Singapore in 2005. The London office is currently responsible for the Suezmax and MR business, while the chemical tanker business is managed by the Singapore office.
Since 2007, HMM has been securing additional long-term contracts under the strategy of risk hedging. So we have organized sound and stable structure to gain steady profit. Even though most tanker owners suffered enormous losses under a severely weak market condition in 2009-2011, HMM tanker service has achieved to minimize losses and reduced spot exposure all through the year with risk hedging strategy. In 2012, we will keep focusing on securing more long-term contracts to minimize the spot exposure and take actions to save cost like super slow steaming against uncertainties in the market.
Based on stable profitability, we believe HMM is able to achieve its goal of becoming one of the most reputable and respectable companies around the world. We are constantly ready to offer the ultimate service to customers throughout the globe.
CRUDE TANKER (As of Mar. 2012)
GT
163,465
163,465
156,692
156,692
156,692
156,692
158,475
158,475
158,475
158,475
81,270
81,270
81,314
75,000
57,164
56,355
56,355
55,894
DWT
309,372
309,372
299,984
299,985
299,984
299,997
299,700
299,700
299,700
299,700
159,429
159,435
157,648
158,000
106,062
105,905
105,860
105,315
Year Built
2005
2005
1998
1997
1998
1997
1993
1995
1993
1995
2002
2002
2011
2011
2005
2008
2009
2008
Universal Queen
Universal Crown
Millennium
Universal Prime
Hyundai Sun
Universal Brave
Universal Hope
La Paz
La Esperanza
Universal Peace
Ganges Spirit
Yamuna Spirit
Spyros K
Dimitris P
Asian Jade
Asian Jasper
Asian Sapphire
Oracle
Vessel Name
PRODUCT TANKER (As of Mar. 2012)
GT
56,955
30,971
30,971
30,040
30,110
29,733
29,733
28,754
DWT
99,992
49,968
49,964
50,508
50,781
44,999
51,746
48,012
Year Built1998
2005
2005
2008
2008
2009
2009
2009
Oriental Green
Oriental Emerald
Oriental Ruby
Oriental Gold
Oriental Diamond
Atlantic Muse
Atlantic Mirage
Pacific Jewel
Vessel Name
CHEMICAL TANKER (As of Mar. 2012)
GT
11,724
11,623
11,623
8,539
DWT
19,998
19,993
19,993
13,079
Year Built2009
2009
2009
2007
Caribbean Orchid
Global Challenge
Global Peace
DL Aster
Vessel Name
HMM SERVICES | BULK UNIT t
Tramp ServiceUtilizing the finest dry bulk and tonnage facilities,
the Tramp Team will continue to meet customer satisfaction.
HMM Tramp Team carries a broad range of both major and minor bulk commodities in segmented sections ; consisting of Cape/Panamax, Handy/Handymax and Dedicated Tonnage Parts.
The Cape/Panamax Part carries iron ore, coal, grain, coke and so forth, with owned or chartered vessels ranging from 60,000 up to 200,000 DWT. Handy/Handymax transports iron ore, coal, fertilizer, cement, salt, bauxite and other materials, with tonnages from 20,000 up to 60,000 DWT. Both Parts are keen and willing to take spot market and long-term business opportunities, either in cargoes or tonnages, and ready to expand their business scope into the Atlantic market while increasing their Pacific business volumes.
The Dedicated Tonnage Part executes iron ore, coal and steel product shipments with 15 ore/coal carriers and a single steel product carrier. These vessels have been serving KEPCO and POSCO exclusively on 15- to 20-year contracts, and starting in 2010 they will also include Hyundai Steel. Based on more than 20 years of experience, HMM plans to further expand its services towards overseas clients in such areas as giant steel mills and power plants.
Under such volatile and unpredictable market circumstances, HMM will enthusiastically implement the targets below to provide the most competitive service and meet client satisfaction.- To analyze and identify market variations with depth and promptness- To enhance relationships with contracted and potential customers- To seek out and utilize new business opportunities- To maximize operational profit, making freight levels competitive- To upgrade the fleet list with versions that are both modern and highly capable, to benefit clients through
operational cost savings, minimized safety risk, and excellent performance
HMM has established its global network in the U.K., U.S., Singapore and India to assist chartering and business development ; while port captains all over the world support the efficient operations of vessels.
SERVICE ROUTES OF TRAMP TEAMThe main service routes cover Australia, Southeast and Far East Asia,
Europe, North and South America, and the Middle East.
- Coal service route : 1,2,3,4,9,12,14
- Iron Ore service route : 4,5,6,7,8,9,11,12,13
- Grain & other products service route : 3,6,10,11,13,15,16
BULK CARRIER (As of Mar. 2012)
GT106,367 92,924 92,865 92,839 92,839 81,152 76,068 44,146 43,205 44,102 42,900 43,00040,077 40,115 38,851 40,622 41,07441,101 40,562 40,485 38,580 38,684 36,175 35,889 35,297 33,091 32,989 32,287 32,305 32,210 32,839 33,03633,036
GT33,005 32,929 32,957 33,044 30,936 30,004 29,964 30,055 25,503 25,503 22,636 17,009 17,018
DWT207,945 179,017 179,017 179,500 179,500 161,121 149,155 83,685 82,088 81,393 79,403 78,00076,31675,668 75,611 75,106 75,01975,01074,716 74,444 73,087 72,917 69,124 69,087 59,963 58,912 58,170 58,163 58,110 58,106 58,015 57,08157,081
DWT57,000 56,855 56,812 56,774 55,452 53,514 53,503 52,525 43,229 43,210 34,184 28,200 28,050
Year Built Year Built201020112011201220121997199620092010201120102011201020022004200120112011200120041996200019961994201220112010200920122010201020112012
2010200920112011200420082007200619961996201020112009
Global CommanderK.EndeavorHyundai TrustGlobal TrustGlobal TalentGlobal WinnerGlobal VictoryAtlantic LegendAtalantaUnity PrideBurgiaU-Sea PanacheKing CoalPina CafieroStar Of NipponDanaeGood LuckShandong Hai ChangGlory RotterdamEratoDrinPontodamonSuryawatiAarti PremPacific AcePacific HonorK. AmberKing FreightSandraAetoliaK. CoralConti LapislazuliConti Larimar
Vega AriesSky GlobeShandong HaishengBao ResourceSealuck IIPanoriaBulk ParaisoPacific GuardianPacific ChampPacific RoyalPacific TrustPacific HopeLake Konpira
Vessel Name Vessel Name
DEDICATED ORE/COAL CARRIER (As of Mar. 2012)
GT106,367106,367101,466101,60493,00593,10493,15393,15389,60377,65076,06876,06825,02168,09325,021
DWT207,955207,945200,269200,052186,330182,619179,135179,156176,939151,257149,310149,221148,527126,05138,415
Year Built200920101998199019872010201120112010199019951998199919931989
Hyundai PioneerHyundai FrontierHyundai ContinentalHyundai UniversalHyundai OlympiaFEG SuccessHyundai VisionHyundai SuccessGlobal EnterpriseHyundai ProsperityHyundai AtlasHyundai PowerTIAN LI HAIHyundai SpiritPacific Success
Vessel Name
HMM SERVICES | BULK UNIT t
Far East
India
Indonesia
W.Australia E.Australia
N.America
S.America
Nola
S.Africa
M.East
Europe10
9
816
15
14
11
3
131
2
4
6
7
8
10
9
5
12
Bulk Liner ServiceFulfilling 4 to 5 million ton deliveries annually across routes all over the world,
the Bulk Liner Team aims to keep its service lines in motion.
For the past 30 years, HMM’s Bulk Liner Team has provided liner services for assorted steel and wooden cargoes on 13 trading routes worldwide — with capacities ranging from 10,000 to 60,000 DWT. The team offers service routes from the Far East/Southeast Asia to the America/Europe/Asia/the Middle East, and has pioneered HMM’s first service lines into the Black Sea/India/China regions from 2004 and South America from 2009 again.
With established local offices in China, the U.S., Europe and India — as well as Korea and Southeast Asia — the team annually performs over 350 voyages and delivers 4-5 million tons of general cargoes on a range of chartered vessels.
The demands of international customers are met with highly qualified shipping knowledge and experienced cargo handling. Through safe vessel operation, the efforts of HMM Bulk Liner Team have always been geared towards the achievement of zero claims.
Confronted with a rapidly changing shipping market, the Bulk Liner Team strives to provide quality services to its customers through steady support of traditional routes as well as stabilization of newly launched service lines.
SERVICE ROUTES OF BULK TEAMRoute ① : Far East to America in and outbound steel cargo service line
Route ② : S.E. Asia to N. America in and outbound wooden & steel cargo service line
Route ③ : F. East to P. Gulf in and outbound steel cargo service line
Route ④ : F. East to S.E. Asia / S.E. Asia to F. East steel & wooden cargo service line
Route ⑤ : F. East to Europe in and outbound steel cargo service line
Route ⑥ : S.E. Asia to Europe in and outbound wooden cargo service line
Route ⑦ : S.F. Asia to P.Gulf bound wooden cargo service line
FLEET LIST (As of Mar. 2012)
GT
31,230 30,053 30,049 20,494 20,494 19,354 19,354 16,660 12,630
DWT
55,623 52,380 52,015 29,974 29,974 29,592 29,513 19,796 17,244
Year Built201120012002201020101996199619972005
Nord OceanFermitaEquinox DawnThree RiversPacific HuronOcean TraderOcean HopeKiani SatuBeagle I
Vessel Name
Far EastN.America
S.E.Asia
S.Africa
S.America
P.Gulf
Europe
3,7
1
1
2
2
1
6
5
4
HMM SERVICES | BULK UNIT t
tHMM OVERSEAS
Tenacity and Determination_46 | Overseas Organizations_ 47
HMM America_48 | HMM Europe_50 | HMM South-East/West Asia_52 | HMM China_54
HMM Hong Kong_56 | HMM Japan_57 | HMM Taiwan / HMM U.A.E._58
Building on the success of various projects up to 2006, we launched the heavy-lift service in 2007. We have made full use of our experience to establish substantial market share in both projects and plants in Korea, a primary hub of Asian project activities and a primary source of project-related equipment.
We currently provide project cargo services between the Far East and the Middle East/India using modern multipurpose carriers to carry lengthy, super-heavy, and highly voluminous cargoes such as petro-chemical equipment, wind energy, power plant facilities, and so forth. To meet clients’ needs, our project service offers individually-tailored solutions using a 3D solution system to consider the size and specificrequirements of each cargo.
In addition to our current Far East Middle East Service, we will expand project cargo service worldwide by 2014 by extending our service line gradually to Europe & the Mediterranean Sea, the U.S., Africa, Australia and further.
Project cargoes are getting bigger, heavier and far more voluminous than before. Projects are also more likely to take place in remote areas. Clients are looking for added value and we are always ready to meet their requirements.
Heavy Lift & Project Service
HMM SERVICES | BULK UNIT t
After generations we are now looking to increase our presence
in the project cargo market.
(As of Mar. 2012)
Hyundai PheonixHyundai PegasusHyundai MasanHyundai UlsanHyundai DubaiHyundai AntwerpRome TraderSan Marino Trader
Lifting Capa
900 T
900 T
640 T
640 T
640 T
640 T
110 T
110 T
DWT
10,128
10,128
29,827
29,827
29,827
29,827
33,271
33,486
Year Built2010
2011
2000
2001
2011
2011
2010
2010
Vessel Name
FLEET LISTThe symbolic meaning of oceans is sometimes a challenge. Oceans mean more than that for HMM and they are literally routes to our goal to be the top heavy-lifter in the world. We are going to expand our service areas to wherever opportunities exist.
We will dedicate ourselves to providing the most superior service and meeting customers’ needs with a diverse fleet, supported by qualified engineering skills and global networks.
HMM’s single-mindedness has enabled it to grow and expand
its influence across the world: opening its first North American
headquarters in 1982, in Europe in 1992, and in South-East/
West Asia and China in 2003. The company now has a vast
overseas network comprising of 4 regional headquarters, 26
overseas subsidiaries, 75 branch offices and 3 overseas offices.
Pioneering into new markets with prospective growth, together
with maintaining market share in established regions, HMM has
the determination to succeed and “go wherever there is market
potential.”
Tenacity and Determination OVERSEAS ORGANIZATIONS
HMM Europe
HMM Europe
HMM China
HMM China
HMM America
HMM America
Hyundai Merchant Marine (America), Inc.
Hyundai America Shipping Agency, Inc. HASA Irving
HASA L.A.
HASA San Francisco
HASA Houston
HASA Dallas
HASA Seattle
HASA Portland
HASA Vancouver
HASA Toronto
HASA Chicago
HASA Cleveland
HASA Cincinnati
HASA Kansas City
HASA St. Louis
HASA Minneapolis
HASA New Jersey
HASA Boston
HASA Atlanta
HASA Memphis
HASA Charlotte
HASA Phoenix RCSC
HASA Chicago RCSC
HASA Charlotte RCSC
Hyundai Intermodal, Inc.
California United Terminals, Inc.
Washington United Terminals, Inc.
HMM (Sao Paulo)
Hyundai Merchant Marine (Europe), Ltd. London
Southampton
Birmingham
Manchester
HMM (Deutschland) GMBH Frankfurt
Bremen
Duesseldorf
Muenchen
Poland
HMM (Netherlands) B.V.
HMM (Belgium) N.V.
HMM (France) S.A. Paris
Marseille
Lyon
Strasbourg
HMM (Scandinavia) AB Sweden (Gothenburg)
Denmark (Copenhagen)
Norway (Oslo)
Finland (Helsinki)
HMM (Italy) S.R.L
Milan
HMM (CIS) LLC
HMM (Austria) GMBH Czech (Prague)
Hungary (Budapest)
HMM South-East/West Asia
HMM South-East/West Asia
Hyundai Merchant Marine (Singapore) Pte. Ltd.
Singapore
HMM (Thailand) Co., Ltd. Laem Chabang
Songkhla
HMM (Malaysia) Sdn. Bhd. Penang
Johor Bahru
HMM (India) Pvt. Ltd. New Delhi
Chennai
HMM (Vietnam) Co., Ltd. Ha Noi
Hai Phong
HMM (Chittagong)
HMM (Australia) Pty., Ltd. Melbourne
Brisbane
Adelaide
HMM (Japan) Co., Ltd.
Osaka
HMM (Hong Kong) Ltd. Shenzhen
Guangzhou
Xiamen
Hyundai Ocean Pioneer Shipping Agency Co., Ltd
Hyundai merchant marine (Taiwan) Co., Ltd.
HMM (U.A.E.) LLC
HMM (Jakarta)
Hyundai Merchant Marine (China) Co., Ltd. Shanghai
Qingdao
Tianjin
Dalian
Ningbo
Nanjing
Chengdu Global DOC Center
HMM OVERSEAS | HMM REGIONAL HEADQUARTERS t
Despite demanding conditions, HMM America will focus on developing
its Asia/South America trade while bolstering the quality of its
customer service.
In 2011, HMM in America continued its improvement process through further operational efficiencies as well
as adding more capacity and new services. HMM maintained its strong foothold in the traditional Korean
market while taking a stronger position in the growing China economy. The year 2011 was designated as a
bridging year in which HMM would position itself for further expansion of capacity and the addition of new
services in 2012.
The Trans-Atlantic saw capacity remain stable in 2011, given the uncertainty surrounding the Euro Zone
economy. As a sign of its commitment to the long term potential of the Trans-Atlantic Trade, continuing its
expansion in the Trade started in 2011 with the Atlantic Express Service (AES), HMM will be adding its fourth
Trans-Atlantic service in the form of the Atlantic Europe Express (AEE) in the first quarter of 2012.
In addition to representing HMM’s fourth Trans-Atlantic service, the AEE is the first Trans-Atlantic service in
which HMM will be operating its own vessel assets in the trade.
As with the Trans-Atlantic, HMM will also continue the expansion of its capacity in the South American Trades
started in 2011. The Atlantic North South (ANS) serving the U.S. East Coast – East Coast of South America
Trade will see a 65% increase in capacity at the end of the first quarter 2012.
In addition to expanding HMM’s Trans-Atlantic capacity, the above noted AEE service based on its direct call
to Manzanillo, Panama, will serve to increase HMM’s capacity in Latin America as well.
HMM will establish a feeder network connecting the AEE at Manzanillo with Central America, the Caribbean
coast of Colombia, and the west coast of South America. The feeder network from Panama will also allow
HMM to expand its service scope to the growing trade between Central America and the Caribbean and Asia
via HMM’s Asia – U.S. East Coast services transiting the Panama Canal. It will also allow HMM to gain access
to growing intra-regional Trade between Central America, the Caribbean and South America.
As for HMM’s services between South America and Asia, they also will see increase in capacity in 2012. In
the East Coast of South America – Asia Trade, HMM will continue to increase its vessel assets as well as its
overall capacity by 15%.
In the West Coast of South America – Asia Trade, HMM will be doubling its overall capacity as well as
increasing its vessel assets in the trade. HMM will continue to look at opportunities not only to expand
existing Latin American services and trade lanes services, but also investigate expanding and investing into
the new trade lanes. This strategy will allow the company to continue to expand its scope of service, providing
a level of financial return demanded by management and shareholders.
Phoenix
Long BeachLos Angeles
San Francisco
Portland
TacomaSeattle
Vancouver Minneapolis
Irving
Houston
Dallas
Memphis
St. LouisKansas City
Cincinnati
CharlotteAtlanta
ClevelandChicago
TorontoBoston
New Jersey
Headquarters
Subsidiary
Branch Office
HMM America
Sao Paulo
HMM has rapidly grown to become one of Europe’s most renowned multimodal shipping and logistics companies, having owned offices in 15 nations, agents in 17 nations and a combined total of 63 branches/offices/agents throughout Europe.
The origin of our European growth stretches back to humble beginnings in 1992, when the North Europe-Asia service (AEX) was launched, comprising of 3,000 TEU vessels. These were upgraded to 5,500, then 6,800 in 2007 with the latest 8,600 TEU new-builds deployed in 2009. In 2012, 5 new HMM vessels with a capacity of 13,100 TEU are set to enter into the North Europe-Asia trade.
Since 1995, HMM has also been a player in the Trans-Atlantic trade, served by 3 loops (APX, ATS, AES) from North Europe to the US East Coast, Gulf and West Coast. In 2012, HMM will deploy 1 vessel with a capacity of 4,200 TEU as a part of 4th loop, newly established, named AEE.
In 2005, HMM Europe also setup a Bulk Team, primarily involved in ‘Suezmax and MR’ Tanker business activities together with a dry bulk operational unit in Antwerp. During 2008, this team was strengthened to include Dry-bulk from Handymax up to Capesize business, set for further expansion in the Atlantic hemisphere.
In latter 2009, under the newly created ‘Global 2 Local’ (G2L) brand, HMM formed their first joint venture business in the UK in the 3PL sector ‘Hyundai and C. Butt Solutions Ltd’ (www.g2l.eu.com) HMM continue to offer tailor made logistics innovations to bespoke customer demands.
Throughout 2009 to 2011, all HMM European offices were accredited with the prominent ‘kite-mark’ status as Authorised Economic Operators (AEO), granted by the European Customs as official recognition that HMM is a trusted and secure member of the global supply chain industry.
2012 has brought with it a significant realignment of alliances within the Europe-Asia trade. While HMM continue its long lasting established partnership within TNWA, both TWNA and GA formed a new operational group named G6 Alliance. This incorporates 7 replacement North Europe services and one service back into the Black Sea region, named ABX while maintaining a foothold into West Med with our existing one EUM service. The 5 x 13,100 TEU newly built HMM fleet will form part of the new G6 Loop 4 (former SCX replacement) serving the North Europe-Asia trade route.
On Transatlantic, the 2012 launch of HMM 4th loop named AEE in conjunction with partner lines will increase our capacity in the USA market by 74% including access to the fast emerging West Coast South America market via transhipment at Manzanillo/Panama.
All these changes are designed to optimise liner efficiencies, maximise existing and new fleet deployed and to improve port range offered to our valued customers from March 2012 onwards. With the existing, realigned and new products set to enter service within 2012, and available capacity of HMM for our customers will be in excess of 9,800 TEU weekly.
HMM OVERSEAS | HMM REGIONAL HEADQUARTERS t
2012 sees the launch of G6 Alliance, the deployment of
5 x 13,100 TEU new-builds, the re-entry into Black Sea
and a brand new 4th Trans-Atlantic loop.
HMM Europe
Headquarters
Subsidiary
Branch Office
LondonRotterdam
Antwerp
Dunkirk
Le HavreParis
GenoaLyonMarseille
Frankfurt
Vienna
Prague
Warsaw
HamburgBremen
Copenhagen
HelsinkiSt. Petersburg
Gothenberg
Strasbourg
Duesseldorf
Birmingham
Manchester
Oslo
Southampton
Milan
HMM South-East/West AsiaMaintaining a weekly allocation of 8,700 TEUs and supporting hub cost-
effectiveness are some of the key goals of HMM South-East/West Asia in 2012.
South-East/West Asia Regional Headquarter (SHQ) was established in 2003 to provide effective control over the business activities of the South-East/West Asia region; consisting of 13 countries with great diversities in political, economic and social fields.
The headquarters is strategically located in Singapore. Being a transshipment hub, the Port of Singapore handles about one sixth of world’s total container transshipment throughput, and 5% of global container throughput. In 2011, the port recorded 29 million TEUs of throughput.
Each segment of SHQ is managed by specialized departments:
The marketing & pricing department plays a significant role in SHQ. With trade lanes classified into Transpacific, Europe and Intra-Asia, the department has control over Australian services (Australian services have been operated since 1999, and HMM Australia Pty., LTD. opened offices in 2008. It was incorporated into SHQ in 2009). Responsible for the revenue performance of associated offices, its target is to achieve a weekly allocation of 8,700 TEUs in 2012.
The logistics department plays a supporting role in relation to terminal contracts, feeder networks, schedule management and other operational issues. It initiates, coordinates and leads functional groups in the SHQ area. It also conducts feasibility studies on feeder deployment and layout optimization, and manages capacity plans and projects in an attempt to apply the most cost-effective environment solutions for business operations.
The major responsibility of the equipment department is to ensure that an optimal level of equipment is available within the region without compromising container condition, cost & time factor for better service to customer. In addition, it is also concerned with improving equipment turnaround time to avoid costly long idling.
The bulk team commenced the chemical tanker business in Singapore from March 2005. Other bulk divisions joined the SHQ bulk team, in 2008, in order to strengthen market share — including bulk liner, LPG tanker, tramp, dry bulk and heavylift project operations.
Although functioning independently, each department still works in close cooperation. HMM’s bottom line is to ensure continued business growth, with maximum profits and minimum costs. Since its establishment, SHQ has played an active and important role in this region.
HMM OVERSEAS | HMM REGIONAL HEADQUARTERS
Headquarters
Overseas Office
Branch Office
Subsidiary
t
Jakarta
Singapore
Johor BahruPenang
Klang
Songkala
Ho Chi MinhBangkok
Laem Chabang
Chennai
Nhava Sheva
Mumbai
New Delhi
Sydney
Brisbane
Adelaide
Melbourne
HMM ChinaPursuing active opportunities for 2012, HMM China will maximize cargo
volumes and bulk services to take the lead in key services and trade routes.The year 2011 was an arduous year for all carriers worldwide under the weakened global economy environment but continuously increasing vessel capacity.
As far as HMM China is concerned, total handling volume of 2011 in CHQ (China Headquarters) territory reached 14,967 TEU per week, which is decreased by 3% compared to year 2010. Total outbound lifting recorded 10,101 TEU per week on yearly mean, which was decreased by 7% compared with 2010. Total inbound containers achieved 7% year-on-year growth, and reached 4,866 TEU per week.
In order to strengthen the function and responsibility on container business management under CHQ territory, CHQ marketing and pricing were combined and reorganized by trade wise division in year 2012. We expect more efficient communication, collaboration and management would be proper for strengthening HMM China's role and responsibility in the most bustling global shipping area.
In 2012, HMM China's target would be focusing on special container development for high profitability and stable lifting all the year along, and on-going inland cargo development would be proceeded as well. Furthermore, CHQ would focus on providing the top class services to all our valued customers.
HMM Bulk China Department business includes transporting steel product, project cargo, and dry bulk cargo worldwide.
Our steel product liner service provides our customer stable service from Far East to the U.S., North Africa, Middle East, South America and South Africa. Project section offers flexible, reliable and professional service that efficiently accommodates a wide range of customer needs. We are currently providing project cargo service between the Far East and the Middle East, India and South East Asia with modern multipurpose heavy-lifter, carrying lengthy, super-heavy, highly voluminous cargoes. We plan to expand our project cargo service worldwide within 2013 by extending service scope gradually to cover Europe & Mediterranean Sea, Australia and wherever project cargo would be moving.
Dry bulk Tramp service operates inbound iron ore, coal, grain, nickel ore and other items from Australia, South America, the U.S., Indonesia and Philippines to China.
HMM Bulk service has been proved reliable and reputable in Chinese market by operating stable service schedule, excellent stowage technology and quite efficient vessel operation. We are looking forward to serve all our valuable customers better in 2012.
In February 2012, HMM China opened a new office named Chengdu Hyundai Merchant Marine Documentation Service Co., Ltd. in Chengdu, Sichuan province in mainland China.
The purpose of the establishing this new documentation center is to create a synergy effect by centralizing the documentation functions that had been done by local branch offices.
HMM China will continue its utmost efforts to provide our customers with the high quality service that meets global standard and also will do its best for further cost saving by enhancing the productivity and work efficiency of the new documentation center.
Shanghai
Nanjing
Qingdao
Yantai
Dalian
Shijiazhuang
TianjinBeijing
Chongqing
WuhanNingbo
Hangzhou
Headquarters
Representative Office
Branch Office
HMM OVERSEAS | HMM REGIONAL HEADQUARTERS t
Chengdu GDC
Hong Kong, the world’s 3rd busiest port in 2011, handled around 24.4 million TEUs, followed by 22.57 million TEUs handled in Shenzhen. Among these, HMM Hong Kong handled 521,871 TEUs and 523,271 TEUs in Hong Kong and Shenzhen Port respectively in 2011.
Last year, HMM Hong Kong carried out a number of practical measures to maximize assets utilization, minimize costs, and enhance work efficiency to increase profit yield. We have spent tremendous effort to expand South China market to match with enterprise strategic business plans and China’s hinterland development program.
HMM Hong Kong oversees the sales, operations and administration of the South China offices’ performance. In the Guangdong Province, we set up Shenzhen and Guangzhou branch offices; Zhongshan as representative office and appointed an agent to carry out the business operations of the West Pearl River Delta market. In Fujian Province, we established Xiamen branch office and Fuzhou as representative office. To cope with our business growth, we keep expanding new market coverage to the China hinterland. We have seen our progressive improvement in terms of lifting growth, the cargo source diversification and the account base expansion.
In the futures, we will keep on promoting our e-services to enhance operation efficiency, data accuracy and reliability. This is not only enhance customer satisfaction but also increase asset productivity for both HMM and our valuable partners.
HMM Japan owns two offices in Tokyo and Osaka ; as well as three agent offices in Nagoya, Shimizu and Hakata.The Tokyo office covers all matters related to sales, operations and administration for the region of Japan — as the main Japanese representation of HMM. In contrast, the Osaka office covers sales in western Japan, with its three agent offices covering major local port sales.
Currently, HMM Japan has 6 services [JAS, PS5, PNW, APX, NYX, PN1] in TPS and 3 services [LP1, LP5, EUM] in Europe. This is in conjunction with 8 services [JTP, HLS, FTS, KMS, CIX, FAL, KRS, NHX] covered in Asia, Australia, Russia, Latin — including the Inter Port Service.
In 2011, all of 69 HMM Japan's staffs took all the efforts to overcome the tough situation such as earthquake and a strong yen.
In 2012, there's still uncertainty in Japanese market but we will do our best to make a certainty with willingness.
HMM JapanHMM Hong Kong
HMM OVERSEAS | HMM OVERSEAS SUBSIDIARIES t
Representative Office
Branch Office
Subsidiary
Shenzhen
Zhongshan Hong Kong
Guangzhou
FuzhouXiamen
Branch Office
Subsidiary
Osaka
Tokyo
Hyundai Ocean Pioneer Shipping Agency Co., Ltd., located in Taipei, was established in 1999 as a joint venture with a local agency, became a 100% wholly owned HMM subsidiary in 2000. With 59 staffs and a branch office in Kaohsiung, HMM Taiwan provides competitive and quality transportation services for major trade lanes, extending to the U.S., Europe, and the Middle East, as well as Intra-Asia.
HMM Taiwan has been placed in even stronger position with the re-location of the Taipei office in 2011, and the progress made during the past 13 years will ensure our existing role as a significant part of the global HMM.
In 2012 HMM Taiwan will focus on increasing profitability by improving internal efficiency and reducing costs to overcome the poor market conditions. In the meantime, we will also acquire high valued-added freight to upgrade the revenue and maintain a good relationship with the long-term customers as our high standard customer service.
HMM U.A.E.HMM’s journey in Dubai began with the launch of the KMS (Korea-Middle East Service) in 1998. From a modest start with weekly services to and from the Far East, HMM U.A.E. now connects Dubai to the Far East, the U.S., Europe, Australia, the Indian subcontinent, and also East Africa. With a strategy to attain better control of its business infrastructure, HMM elevated its Dubai representative office to the status of RHQ in September 2002. The RHQ was given the overall responsibility of controlling and guiding HMM services in key Middle Eastern Gulf States, as well as taking operational control of the Pakistan market.
As businesses in the region continued to grow, April 1, 2008 saw HMM launch; its own subsidiary in partnership with its local agents. HMM (U.A.E.) LLC. now controls all the agents in the Middle East and East Africa. With successful inauguration of East Africa Service in 2010, HMM U.A.E. is taking full advantage ofone of the fastest growing markets in the world.
Dubai
Subsidiary
HMM OVERSEAS | HMM OVERSEAS SUBSIDIARIES t
tHMM & SOCIETY
Togetherness and Society_60 | Shared Vision and Objectives_ 61
Togetherness among Staff_ 62 | Green Management_ 63
HMM Taiwan Kaohsiung
Taipei
Subsidiary
By fostering a sense of unity and togetherness among staff,
HMM aims to translate the progress of individual employees into
the growth of the company. Open communication between the
management and the staff is always encouraged, and efforts are
being made to fuse the goals of each and every employee with
the visions of the company. HMM also strives to share a sense
of togetherness with society. The late Hyundai Group Chairman
Chung Mong-Hun said, “Once a company grows to a certain size,
it can no longer be owned by one individual,” emphasizing that
the goals of the company should coincide with those of society.
Accordingly, HMM endeavors to share and fulfill the values
required by society.
Togetherness and Society
We are the pumping heart of a global supply chain.• We transport and deliver valuable cargo produced by numerous industries on a global basis.
• We devote ourselves to making human society more prosperous and happier by delivering scarce
resources and commodities around the world faster and dependably, to where they are needed.
• To make this happen in the challenging business environment of the 21st century, we put all our
efforts and capabilities toward building a more efficient and effective value-delivery network.
Hyundai Merchant Marine—which consists of experts unrivaled in the shipping and logistic industry—seeks to develop the best solutions for all its customers and contributes to enhancing the happiness of the global community.
We Carry the Future
• Customer Value Oriented Mind• Developer Spirit• Global Citizenship
MISSION
SLOGAN
VISION
Core Values
SHARED VISION AND OBJECTIVESPURSUED TOGETHER BY ALL MEMBERS OF HMM
Togetherness among Staff Green Management HMM is exerting every effort to promote communications among staffs by holding workshops, gatherings, and sports events.
The Junior Board Committee, made up of employees representing each different rank of the corporate hierarchy, regularly meets with the senior management to seek an advanced idea together, and these meetings make a strong bond among each them. In-house club activities are also greatly encouraged so that executives and employees can have opportunities to naturally form a sense of unity while enjoying sports activities, including bowling, tennis, and swimming together. Reading books and playing in a band are other popular activities as well.
Also, respect and care amongst executives and employeesare emphasized to facilitate a system of communicationthat shares HMM’s vision and philosophy.
HMM & SOCIETY t
HMM has accepted its responsibility to take action to reduce any emissions which might affect climate change. This means that HMM’s efforts to reduce gas emissions are fully voluntary. Coincidently, HMM has discovered that this “green” effort can lead to reduced costs.
Taking these issues into consideration, HMM has decided to take even more progressive action by setting up the web-based Greenhouse Gas Inventory, the Supply Chain Carbon Calculator, and the fuel efficiency monitoring tool, and establishing a Green Management System. All these systems have involved a lot of expert work.
HMM has launched EEOI(Energy Efficiency Operational Indicator) and EEDI(Energy Efficiency Design Index) calculator to monitor and analyze energy efficiency for HMM vessels. HMM has established a Ship Energy Efficiency Management Plan (SEEMP) and has started its use with the HMM fleet. SEEMP provides the most efficient vessel operation methods (optimal route selection, appropriate maintenance, ECO steaming, utilizing ocean currents and weather) to reduce CO2 emissions while ensuring safe operation and maintaining a strict operation schedule.
CO2 Emission Reduction Target- Reduce 17% of CO2 intensity by 2015 based on 2008.
HMM Green Management Policy · Disclose the transparent GHG (greehouse gas) report and help customers' sustainability· Strictly follow the domestic and/or overseas regulations and keep improving performances· Response against the climate change by environmental-friendly investment· Create the environmentally sound and sustainable green growth· Strengthen the partnership to improve green management acknowledgement and ability
Internal Activity· Monitoring greenhouse gas emission from company activity· Consulting others to establish greenhouse gas management system· Early action for complying the regulation under discussion in IMO, EU etc· Participating in the national project for establishing TCS (Testing, Certification and Standard) system for
Greenship
Green Rewards· Awarded as 'Carbon Management Industrial Leader' by the CDP (Carbon Disclosure Project) of Korea (2011.10)· Awarded 'Green Management System' certification from DNV (Det Norske Veritas) for the first company in the
Korean maritime industry (2011.11)
2010 Certified as Korea AEO (Authorized Economic Operator) 'AA' level.
Moved into new head office in Yeonji-dong, Seoul.
New Hyundai Pusan New-port Terminal opend.
Achieved best ever business results in sales and operating profit.
2011 Opened CUT (California United Terminals) at L.A., USA.
Ordered five 13,100 TEU container ships.
Proclaimation of New Vision & Mission.
Formed the world's largest shipping alliance ‘G6’ with APL, MOL,
Hapag-Lloyd, NYK, and OOCL.
2012 G6 Alliance moved to launch of Asia-Europe service.
1976 Company established as Asia Merchant Marine on March 25.
Transportation service opened with a fleet of three VLCCs.
1977 Bulk cargo tramp service and deep-sea tug service began.
1978 Conventional liner service opened between the Far East and the Middle East.
1980 Specialized car carrier service established.
1981 Specialized ore and coal transportation service began.
1982 U.S. subsidiary, Asia Merchant Marine America (AMM America) founded.
1983 Company name changed to Hyundai Merchant Marine Co., Ltd. on August 9.
1985 Full container service opened between the Far East and the Western U.S.
Acquisition of Dong Hae Merchant Marine and Shin Han Shipping completed.
1988 Double stack train (DST) rail service established between Long Beach,
Chicago and the Eastern U.S.
1989 Japanese subsidiary incorporated.
1990 Hyundai Intermodal, Inc. (HII) established as a subsidiary to provide a full-service intermodal
transport service within the U.S.
1992 Subsidiaries incorporated in Europe and Hong Kong.
1993 U.S. subsidiaries Hyundai America Shipping Agency, Inc. (HASA) and Hyundai Merchant
Marine America, Inc. (HMMA) established.
Both ISO 9002 certification and ISM code received.
1994 Korea's first LNG transport service began with the launching of the Hyundai Utopia.
1996 Exclusive container terminal opened in Kaohsiung, Taiwan.
ISO14001 certification acquired – the first among the world's multimodal transportation companies.
1998 The New World Alliance service began with APL and MOL.
1999 100% management rights for California United Terminals in Long Beach acquired.
1970~80’s
1990’s
HMM’S DevelopmentHMM’S DEVELOPMENT
2000 Hyundai Merchant Marine (France) S.A. opened.
2001 ‘Cyber Customer Service Center’ opened.
6,500 TEU container vessels on the PSW (Pacific-Southwest service) route deployed.
2003 South-East/West Asia Headquarters and China Headquarters established.
2004 All of HMM’s vessels and port facilities approved as in accordance with the ISPS Code.
2005 Established an Indian subsidiary.
2006 Opened a branch office in Warsaw, Poland.
Held the 30th anniversary ceremony.
Selected as the terminal operator for 2-2 container terminal of Busan New Port.
Deployed five 6,800 TEU container ships.
2007 Launched three 6,800 TEU and three 4,700 TEU container ships.
Selected to develop Rotterdam Container Terminal.
Established HMM Italy SRL. and HMM Vietnam Co., Ltd.
Established a dedicated express rail service between Hamburg and Mlawa.
2008 Launched new 8,600 TEU container ship ‘Hyundai Brave’.
Established subsidiaries in Russia, U.A.E., Australia, and Austria.
Proclaimed new 4T corporate culture.
2009 Established direct services from Vietnam to the US West Coast.
Held 10th anniversary ceremony of Washington United Terminals, Tacoma, WA, USA.
Opened the Danube Express service (a rail service between Budapest and Hamburg)
2000’s
2010's
Managing Staff
Chung Ji-YiExecutive Vice President
Lee Taeg-GyuExecutive Vice PresidentHead of Maritime Unit
Ahn Kyung-Jin Senior Vice PresidentHead of Information Technology & Innovation Division
Kang Sung-IlExecutive Vice President
MANAGING STAFF
Lee Suk-HuiPresident & CEO
Lim, Jong-ki Senior Vice PresidentHead of HMM SHQ
Kang Ho-KyungSenior Vice PresidentHead of HMM EHQ
Lee Young-JoonExecutive Vice PresidentHead of Bulk Unit
Kim Soo-HoExecutive Vice PresidentHead of Liner Unit
Lim Jae-HoonSenior Vice PresidentHead of Global Liner Management Division
Kim Chan-HoSenior Vice PresidentChief Financial Officer
Lee Seock-DongExecutive Vice PresidentHead of HMMA
