Chinese state media has suggested that South Korea's shipbuilding industry may struggle to achieve a "second leap" by relying on cooperation with the United States, casting doubt on recent efforts to strengthen US-South Korea shipbuilding collaboration.
The Global Times, in a commentary published on July 10, stated, "In South Korea, there are claims that cooperation with the US in shipbuilding could bring 'rare strategic advantages.' However, it remains questionable whether geopolitical support and political collaboration can fundamentally break through industrial competitiveness issues."
The commentary noted, "The US-South Korea shipbuilding cooperation is essentially aimed at supporting the US strategic goal of revitalizing its shipbuilding industry. While this may provide new opportunities in the fields of warships and special vessels, it does not address the chronic issues facing South Korea's shipbuilding sector, such as saturated shipyard construction capacity, severe labor shortages, rising production costs, and constraints on expanding production capacity."
It further asserted, "The US priority is to integrate South Korea's shipbuilding capabilities into a US-centered global supply chain," expressing skepticism about how much industrial success South Korea can achieve in this process.
The commentary emphasized that despite the strengthening of shipbuilding cooperation between the US and South Korea, China's overwhelming market dominance remains unshaken. According to Clarkson Research data cited by the Global Times, China secured orders for 1,131 vessels totaling 31 million CGT (compensated gross tonnage) in the first half of this year, capturing approximately 72% of the global market share. In contrast, South Korea secured about 8 million CGT, holding around 20% of the market.
Additionally, citing the US maritime industry publication The Maritime Executive, the commentary predicted that the market share gap between China and South Korea could widen to 53 percentage points on an annual basis this year.
The commentary argued that to maintain its shipbuilding competitiveness, South Korea should actively seek reasonable competition and cooperation opportunities with China.
It stated, "While China holds an advantage in the merchant ship market due to its high-quality supply chain and large-scale production capacity, South Korea maintains its technological and brand competitiveness in high-value ship types such as ultra-large LNG carriers and ultra-large container ships," assessing that both countries possess differentiated competitive strengths.
It also noted, "The transition to eco-friendly ships and smart shipbuilding technology are challenges that cannot be solved by one country alone," suggesting potential cooperation between South Korea and China in low-carbon fuels and digital shipbuilding.
The commentary concluded, "South Korea's rise as a global shipbuilding powerhouse, surpassing Japan in the past, was due to its own market development and technological innovation. To achieve a 'second leap' today, South Korea should focus on strengthening its own competitiveness and improving production efficiency rather than relying on geopolitical variables."
Chinese state media has previously argued that cooperation with China is necessary for South Korea's shipbuilding industry to maintain its competitiveness. This latest commentary follows South Korean President Lee Jae-myung's recent meeting with US President Donald Trump during the NATO summit, where they discussed cooperation in building US naval vessels, suggesting an intent to counter the strengthening of US-South Korea shipbuilding collaboration.
The US and South Korea have initiated discussions on shipbuilding cooperation, agreeing to invest $150 billion of the $350 billion in US investments last year into the Trump administration's "MASGA (Make America Shipbuilding Great Again)" project.
* This article has been translated by AI.
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