HSD Engine
An engine products manufacturer, producing and selling large vessels diesel engines, engine parts and repairing services.
| Date | Investors | Amount | Round |
|---|---|---|---|
* | CNY177m | Growth Equity VC | |
| Total Funding | 000k | ||
Established in 1999 as HSD Engine, and officially rebranded as Hanwha Engine in 2024, the company operates as a key player in the heavy machinery and shipbuilding industries. Its history traces back to 1983 when Hankook Heavy Industries initiated its engine business, which later evolved through a joint venture involving Samsung Heavy Industries and Daewoo Heavy Industries during the IMF crisis. The company is headquartered in Changwon, South Korea, and became a publicly listed entity on the Korea Exchange in 2011.
In a significant strategic move in February 2023, Hanwha Group, through its subsidiary Hanwha Impact, acquired a controlling 33% stake in HSD Engine for approximately $175.9 million. This acquisition followed Hanwha's takeover of Daewoo Shipbuilding & Marine Engineering (DSME), now Hanwha Ocean, creating a vertically integrated solution from shipbuilding to engine manufacturing. The integration aims to enhance competitiveness in producing vessels with eco-friendly engines and to develop power generation facilities. Moon Ghee Ryu, formerly with Hanwha Impact, was appointed as the CEO of the newly named Hanwha Engine.
The core business involves the manufacturing of marine diesel engines, environmental pollution prevention facilities, and parts. Hanwha Engine specializes in low-speed diesel engines for large vessels like containerships, bulk carriers, and crude oil carriers, as well as medium-speed engines for special-purpose vessels and as backup generators for power plants. Its product line includes MAN-ES & WinGD type engines. The company serves a global client base of major shipbuilders, including its affiliate Hanwha Ocean. Revenue is generated from the sale of these engines, parts, and comprehensive after-sales services, which include maintenance and repairs.
A key focus for Hanwha Engine is the development of next-generation engine technologies. The company is actively involved in creating propulsion systems for alternative fuels like ammonia and methanol. A joint development project with Swiss marine power company WinGD was initiated to deliver a methanol-fueled two-stroke engine by 2024. Furthermore, Hanwha Engine is developing smart ship solutions to improve operational efficiency and offers digital performance optimization software, Tekomar XPERT, to its clients. This strategic direction positions the company to meet increasing international decarbonization regulations.
Keywords: marine engines, shipbuilding, low-speed diesel engines, medium-speed diesel engines, Hanwha Group, Daewoo Shipbuilding & Marine Engineering, DSME, eco-friendly engines, alternative fuels, ammonia engines, methanol engines, power generation, engine parts, after-sales service, MAN B&W, WinGD, two-stroke engines, marine propulsion, Changwon, South Korea, vessel manufacturing, Tekomar XPERT, smart ship solutions