Hyundai Glovis Diversifies Shipping Revenue with Large Heavy Cargo Truck Vessel Transport...

A heat exchanger being loaded onto a Hyundai Glovis car carrier ship

[Asia Economy Reporter Dongwoo Lee] Hyundai Glovis is accelerating the diversification of non-affiliated sales in the maritime transportation sector by fostering a large-scale heavy cargo (break bulk) business using car carriers this year.

Hyundai Glovis announced on the 25th that it recently transported thermal and wind power generation equipment to Baltimore, USA, and Bremerhaven, Germany, by sea upon the transportation request of a global energy infrastructure company.

The shipper chose Hyundai Glovis's car carriers instead of container ships, which face difficulties in securing space, to ensure timely delivery of the cargo. The power generation equipment, equivalent to 370 20-foot containers, was loaded onto the car carriers using 'roll trailers,' equipment necessary for non-powered cargo loading, and transported in four shipments.

Market Shift Due to COVID-19, Accelerating Break Bulk Market Penetration

Hyundai Glovis transported more than 13,500 20-foot container equivalents of global break bulk cargo last year. The company is determined to double the cargo volume this year by targeting new shippers who have not used car carriers before.

Break bulk cargo refers to goods that are not loaded in containers but shipped as individual pieces. Individual pieces are cargo that cannot be packaged due to irregular sizes.

This includes a variety of items such as industrial and power generation equipment, electric vehicles, steel products, as well as construction and mining equipment. Depending on contract conditions such as cargo size and type, transportation is carried out via container ships, car carriers, bulk carriers, and other vessels.

The company plans to focus available resources primarily on securing new cargo such as transformer equipment, plant equipment, and large-scale broadcasting equipment.

Hyundai Glovis is also actively attracting shippers. Thanks to the regular operation of car carriers, they offer better punctuality compared to bulk carriers and more flexible voyage operations compared to container ships, allowing agile responses to shipper requests.

The transportation stability of cargo is also superior compared to bulk and container ships. By loading cargo horizontally, the risk of impact and dropping is significantly lower than the vertical loading and unloading methods used by container and bulk carriers.

Additionally, by loading cargo inside the ship, storage quality can be maintained under conditions similar to ground logistics centers. Without loading cargo on the exposed deck, all cargo is stored inside the ship, protecting it from external environments such as seawater and sea breeze.

Serving Worldwide with a Fleet of 90 Ships... Expecting Growth in Non-Affiliated Sales

Hyundai Glovis is strengthening its break bulk business to expand its shipping capabilities and accelerate sales diversification.

Its strength lies in a service network that covers most parts of the world based on a fleet of 90 vessels. This enables quick responses to shipper-desired sailing schedules. The company also plans to actively expand sales equipment used for break bulk cargo loading, such as roll trailers.

If the break bulk business enters a full-fledged growth phase starting this year, Hyundai Glovis's expansion of non-affiliated sales in maritime transportation is expected to accelerate further.

Last year, Hyundai Glovis recorded a record high of 55% non-affiliated sales in its total revenue from the car maritime transportation business. This is four times the scale compared to 2010, when it officially entered the shipping business.

A Hyundai Glovis official said, “Hyundai Glovis provides fast and accurate services based on a fleet of 90 vessels and a densely established global network of over 80 locations,” adding, “We plan to leverage our shipping capabilities to focus on the break bulk market and strengthen global competitiveness.”

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