Reviving Glory of Shipbuilding Industry! ... Busan City and Ministry of Trade, Industry and Energy Promote 'Shipbuilding Production Technology Workforce Training Project'

Busan City Hall.

[Asia Economy Yeongnam Reporting Headquarters Reporter Hwang Du-yeol] Busan City is taking a proactive approach to address the shortage of workforce in the shipbuilding industry by promoting the ‘Shipbuilding Production Technology Workforce Training Project’ in collaboration with the Ministry of Trade, Industry and Energy.

Domestic shipbuilding secured 37.1% of global orders in 2021, achieving the highest order volume in eight years.

With IMO (International Maritime Organization) environmental regulations, orders for eco-friendly ships, an area where domestic shipbuilders have strengths, are expected to continue increasing, revitalizing the overall shipbuilding industry.

HJ Heavy Industries, a medium-sized shipbuilder in Busan, succeeded in securing orders for five merchant ships last year, totaling 140,000 CGT.

Daesun Shipbuilding also secured 250,000 CGT (20 ships), indicating a revival of the regional shipbuilding industry.

Although the shipbuilding industry is booming, the number of workers nationwide has decreased due to long-term restructuring and the prolonged COVID-19 pandemic.

From a peak of 200,000 workers in 2014, the number sharply dropped to about 94,000 as of May last year, and it is expected that up to 8,000 workers will be lacking in the second half of this year.

A demand survey of shipyards and partner companies in the Busan area also identified that about 800 workers will be needed at shipyards and equipment suppliers by the end of this year.

Busan City plans to proactively respond to the workforce shortage by training 3,000 shipbuilding technical personnel by the end of this year in cooperation with Ulsan City, Gyeongnam Province, the Korea Research Institute of Ships and Ocean Engineering, and the Ministry of Trade, Industry and Energy.

Starting next year, Busan City will newly promote the ‘Regional Shipbuilding Production Technology Workforce Training Project’ with the Ministry of Trade, Industry and Energy and the Korea Research Institute of Ships and Ocean Engineering, actively supporting the training of shipbuilding field personnel until 2025.

Job seekers in the shipbuilding industry will receive free education in ▲hull block manufacturing ▲ship component manufacturing and installation ▲electrical and control systems.

After completion, trainees will receive a training allowance of 400,000 KRW per month for two months, and if linked to employment, an additional employment support allowance of 600,000 KRW per month for two months.

To alleviate the intensified workforce shortage caused by the prolonged COVID-19 pandemic and difficulties in foreign workers’ entry, the city has proposed to the Ministry of Trade, Industry and Energy and the Ministry of Justice to expand employment visas for shipbuilding welders and ease the introduction procedures.

Shin Chang-ho, Director of the Industry and Trade Bureau of Busan City, said, “As Busan’s key industry, shipbuilding, is expected to experience a boom, Busan City will support the shipbuilding industry’s resurgence through proactive workforce training and smooth workforce supply and demand support.”

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