Jeonbuk Province 'Establishment of Advanced Complex for Special Purpose Vessels'

Jeonbuk Province, Gunsan City, LIG Nex1 and 3 Other Organizations Sign Agreement for Joint R&D and Local Talent Development
Leading Companies Promise to Collaborate on 4th Industrial Revolution and Green New Deal in Shipbuilding Industry

[Jeonju=Asia Economy Honam Reporting Headquarters Reporter Kim Tae-in] Jeollabuk-do Province plans to overcome the crisis in the local shipbuilding industry through the large-scale national project of establishing a ‘Special Purpose Vessel Advanced Complex.’

To this end, Jeollabuk-do has signed agreements with major companies and related organizations to proactively respond to future demand, including ships equipped with eco-friendly new technologies.

On the 21st, Jeollabuk-do held a ‘Mutual Cooperation Exchange Agreement for the Creation and Development of the Jeollabuk Shipbuilding Industry Ecosystem’ at the governor’s conference room in Jeollabuk-do Provincial Office, agreeing to jointly cooperate centered on the ‘Special Purpose Vessel Advanced Complex’ project.

The signing ceremony was attended by Governor Song Ha-jin, Gunsan Mayor Kang Im-jun, LIG Nex1 CEO Kim Ji-chan, Howon University President Kang Hee-sung, Korea Research Institute of Ships and Ocean Engineering Director Bae Jeong-cheol, and Gunsan Shipbuilding and Marine Technology Business Cooperative Chairman Kim Gwang-jung.

Through the agreement among six institutions, Jeollabuk-do promised to jointly promote leadership in special purpose vessel advancement, foster new industries in future ship technology fields, and strengthen industry-academia-research cooperation for joint research and development of advanced defense technologies.

The participating institutions, including Jeollabuk-do, will work together to enhance regional industrial competitiveness and support the growth of new industries in the shipbuilding sector. They also plan to establish a technical and administrative support system to secure competitiveness in the ship modernization projects of local shipbuilding companies.

The institutions agreed to share technical information to expand private sector participation in future ship technology fields and foster new industries. They also reached consensus on cooperation for joint development, including the ‘Special Purpose Vessel Advanced Complex’ construction, total lifecycle management, enhancement of equipment reliability and quality, and international joint research.

Additionally, they agreed to jointly promote the cultivation of specialized personnel centered on local talent through higher education and provide mutual convenience in facility usage.

In particular, LIG Nex1, the first company to join Jeollabuk-do’s ‘Special Purpose Vessel Advanced Complex’ project, is expected to be a strong ally in the new shipbuilding industry landscape envisioned by Jeollabuk-do. LIG Nex1 has accumulated extensive experience in the development, mass production, and maintenance of various weapon systems required in maritime and underwater battle environments, including guided weapons, radar, and communication equipment used in surface ships and submarines, as well as port surveillance systems, unmanned surface vessels, and submarines.

Governor Song Ha-jin said, “With the reactivation of Hyundai Heavy Industries Gunsan Shipyard and the establishment of the advanced complex, Jeollabuk’s shipbuilding industry will regain vitality through attracting companies and creating jobs. I hope everyone will unite to ensure that the Special Purpose Vessel Advanced Complex leads the re-advancement of Jeollabuk’s shipbuilding industry.”

Gunsan Mayor Kang Im-jun stated, “I am very pleased with the plan to establish the ‘Special Purpose Vessel Advanced Complex’ at Gunsan Port. Creating spaces for shipbuilding-related companies and defense contractors is expected to contribute to revitalizing our local economy, which has been stagnant.”

Also, LIG Nex1 CEO Kim Ji-chan said, “I hope this agreement will serve as an opportunity to secure the industrial foundation and competitiveness in the rapidly growing ship modernization sector through close cooperation with Jeollabuk-do, Gunsan City, and other key local governments and related organizations, contributing to regional economic revitalization.”

Meanwhile, following the suspension of operations at the Gunsan Shipyard (July 2017), Jeollabuk-do is promoting the advanced complex, a large-scale national project worth 500 billion KRW, based on a strategy to reduce dependence on large corporations and foster a new ecosystem specialized in small and special vessels reflecting the characteristics of the local shipbuilding industry.

Jeollabuk-do held a kickoff meeting for the preliminary feasibility study research project on the 16th and plans to design the advanced complex project as a preliminary feasibility study for attracting the complex. To build consensus for the specialized complex, it will cooperate with local political circles (including National Assembly member Shin Young-dae) and hold policy forums, making every effort to secure national project selection.

Jeollabuk-do expects the ‘Special Purpose Vessel Advanced Complex’ to be a starting point for overcoming the crisis in the local shipbuilding and marine industry, generating economic effects exceeding 460 billion KRW annually and creating 3,000 new jobs.

In response to IMO (International Maritime Organization) environmental regulations and paradigm shifts in the shipbuilding industry, the smart technology-based advanced complex, capable of simultaneously accommodating new construction, modification, and repair (MRO) of eco-friendly and future-type vessels, will proactively respond to future demand for ships equipped with eco-friendly new technologies, including all government vessels, coastal ships, and warships’ performance upgrades.

Jeollabuk-do expects that through this ‘Special Purpose Vessel Advanced Complex,’ it will contribute to revitalizing the local shipbuilding industry by fostering new future technology businesses centered on total lifecycle management projects, promoting joint R&D activities among industry, academia, and research institutes, and creating an opportunity for coexistence with the regional economy.

This content was produced with the assistance of AI translation services.