Korea-U.S. Shipbuilding Cooperation Accelerates with 'MASGA' Launch... Finebustil Surges on Shipbuilding Super Boom

As Korea-U.S. shipbuilding cooperation enters a new phase with the full-scale launch of the U.S. 'MASGA (Make American Shipbuilding Great Again)' project, Korean shipbuilders are accelerating their entry into the American market.

In line with this trend, Finebustil, a company specializing in shipbuilding structural steel and a key supplier to major shipbuilders such as HD Hyundai and Hanwha Ocean, is showing a marked recovery in its performance.

According to Finebustil's provisional results for the second quarter of 2025, sales reached KRW 46.3 billion, an 88.8% increase from KRW 24.5 billion in the same period last year, while sales volume rose by 92% from 22,070 tons to 42,400 tons. The company explained, "To cope with the surge in shipyard orders, we switched to a two-shift day and night system starting in August, expanding daily production from 9 hours to 14 hours."

The improvement in performance is attributed both to the super boom in the Korean shipbuilding industry and to Hyundai Steel's production line adjustments. On November 13 last year, Hyundai Steel halted its shipbuilding structural steel production line as part of facility rationalization, and as a result, Finebustil is expected to continue expanding its order volume.

A Finebustil representative stated, "Product prices are rising due to the shipbuilding boom, and the stabilization of raw material prices such as iron ore is rapidly restoring our cost competitiveness," adding, "We expect a significant rebound in profitability, including operating profit, starting this year."

With strengthened Korea-U.S. shipbuilding cooperation and the U.S. taking measures to curb Chinese shipyards, Korean shipbuilders are expected to continue receiving orders, resulting in Finebustil's stock price rising by approximately 50% over the past month.

Dongil Steel Lux, another affiliate of the same group, is also expected to benefit as its subsidiary Daesun Shipbuilding is emerging as a potential player in the naval vessel MRO (Maintenance, Repair, and Operations) sector. The U.S. Navy's naval vessel MRO market is estimated to be worth about KRW 20 trillion annually. Daesun Shipbuilding, part of a consortium in which Dongil Steel Lux holds the largest stake, recorded sales of KRW 70.2 billion and operating profit of KRW 1.2 billion in the first quarter of 2025, turning a profit compared to the same period last year. Second-quarter results are expected to show even greater improvement.

An industry official commented, "The expansion of Korea's shipbuilding industry into the U.S. market and the strengthening of cooperation between large, mid-sized, and small shipbuilders could drive growth for parts and materials companies in the long term," adding, "There is a high possibility that a comprehensive boom throughout the shipbuilding value chain will continue."

Finebestil.

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