STX Group has revised its sales target upwards to 50 trillion won and operating profits to 5 trillion won in 2012 through diversification of its business portfolios at the group’s key enterprises. But group Chairman Kang Duk-soo painted a negative outlook for the global shipping industry in the second half, citing rising raw material prices. "It is expected that the group will post sales of at least 25 trillion won this year ? well above its earlier target of 20 trillion won by 2010 ? and now I am presenting a new but achievable goal,’’ Kang told some 170 executives at a two-day workshop over the weekend in Wonju, Gangwon Province.
I see the global economy slumping in the latter half, and urge all the group’s affiliates to find concrete measures to tackle such uncertainties,’’ Kang said.
In order to achieve the revised target, the group is planning to split its business units into four sectors ? shipbuilding and machinery, shipping and trade, plant and construction, and energy ? as a pre-emptive strategy.
STX Shipbuilding, the group’s flagship, has set a sales target of 24 trillion won by 2010 by strengthening its shipping portfolio capitalizing on the Chinese, European and South Korean markets.
Last week, the world’s sixth-biggest shipbuilder offered to buy a bigger stake in Norwegian shipbuilder Aker Yards ? a virtual sign it wants full control of Europe’s biggest ship maker.
The deal, worth up to $110 million, could raise STX’s stake to 47.15 percent and trigger a buyout of minority shareholders.
The bid comes a week after the French government bought the Norwegian company’s shipyard in France from STX ? a move to keep its part of the hobbled European shipbuilding industry from falling under control of the STX Group.
In China, we should boost our shipping capacity, however, in Europe, the high-end shipping business is creating a bigger opportunity for us,’’ Kang said.
Aker Yards’ profitable cruise ship business is one of the few niches of the global shipping industry currently not dominated by Asian yards.
Orders for cruise liners reach over $13 billion annually, accounting for more than 12 percent of the global shipbuilding market, according to industry estimates.
STX Pan Ocean hopes become the world’s fifth-biggest in the industry with 14 trillion won in sales in four years time.
We will diversify our portfolio to LNG, VLCC, PCTC and even container ships to escape from high dependence on dry the bulk segment,’’ Kang said, adding he has an interest in the logistics business.
Its plant and construction unit is aiming to for 9 trillion won in sales of industrial plants and large-scaled housing complex projects abroad.
In energy, the group is aiming for sales of 2 trillion won with a greater focus on the renewable energy sector such as solar cells.
I see the global economy slumping in the latter half, and urge all the group’s affiliates to find concrete measures to tackle such uncertainties,’’ Kang said.
In order to achieve the revised target, the group is planning to split its business units into four sectors ? shipbuilding and machinery, shipping and trade, plant and construction, and energy ? as a pre-emptive strategy.
STX Shipbuilding, the group’s flagship, has set a sales target of 24 trillion won by 2010 by strengthening its shipping portfolio capitalizing on the Chinese, European and South Korean markets.
Last week, the world’s sixth-biggest shipbuilder offered to buy a bigger stake in Norwegian shipbuilder Aker Yards ? a virtual sign it wants full control of Europe’s biggest ship maker.
The deal, worth up to $110 million, could raise STX’s stake to 47.15 percent and trigger a buyout of minority shareholders.
The bid comes a week after the French government bought the Norwegian company’s shipyard in France from STX ? a move to keep its part of the hobbled European shipbuilding industry from falling under control of the STX Group.
In China, we should boost our shipping capacity, however, in Europe, the high-end shipping business is creating a bigger opportunity for us,’’ Kang said.
Aker Yards’ profitable cruise ship business is one of the few niches of the global shipping industry currently not dominated by Asian yards.
Orders for cruise liners reach over $13 billion annually, accounting for more than 12 percent of the global shipbuilding market, according to industry estimates.
STX Pan Ocean hopes become the world’s fifth-biggest in the industry with 14 trillion won in sales in four years time.
We will diversify our portfolio to LNG, VLCC, PCTC and even container ships to escape from high dependence on dry the bulk segment,’’ Kang said, adding he has an interest in the logistics business.
Its plant and construction unit is aiming to for 9 trillion won in sales of industrial plants and large-scaled housing complex projects abroad.
In energy, the group is aiming for sales of 2 trillion won with a greater focus on the renewable energy sector such as solar cells.