It is cautiously suggested that shipbuilding industry is expected to show ‘steady’ status in 2014.

According to ‘Prospects for major businesses in 2014’ released by Korea Development Bank (KDB), shipbuilding, car, display industries are projected to show ‘steady status’ and petrochemical industry to experience ‘slowdown’ with steel, shipping, construction to see ‘poor status’ while semiconductor and mobile phone industries are anticipated to be ‘favorable’.

As for shipbuilding industry, it is forecasted to remain domestic new order volumes with falling delivery amid global new orders slightly decreasing.

KDB urged. “Korean shipbuilding industry must reinforce its competitiveness in high-value added vessels, such as LNG carrier and so on, and prepare for the time after Chinese shipbuilding restructuring which is seen to be kickstarted from next year.”

Meanwhile, Hana Institute of Finance of Korea said in ‘Industry Prospects in 2014’ that domestic demand and exports are expected to get somewhat favorable compared to this year however industrial prospects are different from one another.

Hana expected that industries of semiconductor, car, railway equipment and so on to see a ‘boom period’ or ‘stable state’. However, it said, “Industries like construction, shipbuilding and others, which have long-protracted recession, will be difficult to improve even in the upcoming year that management plan establishment will have to focus on survival than growth.”

Researcher Lee Joo-Wan at Hana stressed, “Although economy is said to somewhat recover in 2014, Korean economy has entered a phase of low-growth and China, highly depending on exports, is expected to adjust its economic management to be focused on internal stability from growth-oriented one. Thus, Korea enterprises need strategies concentrating limited sources on specific sectors, breaking from growth strategy counting on reckless diversification or excessive borrowing of the past.”