Reducing Activities: company scaling back some business operations while continuing others
Stay Scaling BackSamsung Heavy Industries Co., Ltd. is one of the largest shipbuilders in the world and one of the "Big Three" shipbuilders of South Korea. Geoje is one of the largest shipyards in the world, having 3 dry docks and 5 floating docks.
Reducing Activities: company scaling back some business operations while continuing others
Stay Scaling BackPlans to move forward with the construction of three more ice-breaking LNG carrier hulls for Russia. Samsung has been delivering blocks and equipment for five of them to Zvezda, the Russian shipyard that is assembling the carriers, after receiving South Korean government approval. Samsung Heavy Industries has been hit by sanctions against Russia following the Russia-Ukraine war. The company’s order worth 4.85 trillion won (approximately $3.7 billion) from a Russian client before the war broke out was blocked by sanctions and the Russian client abruptly called off the contract. "The Russian client unilaterally claimed that the contract was not fulfilled during a negotiation process,” Samsung Heavy Industries said in a public disclosure on June 12, 2024 with respect to 10 liquefied natural gas (LNG) carriers and seven shuttle tankers for the North Sea ordered from Russia’s Zvezda Shipyard in 2020 and 2021. “The Russian client notified Samsung Heavy Industries of the termination of the contract and demanded that Samsung Heavy Industries return its down payment of US$800 million and its delayed interest to the Russian client."