The green revolution in global shipping is accelerating, with South Korea's HD Hyundai Heavy Industries (HHI) officially partnering with TerraPower, the U.S. nuclear energy company founded by Bill Gates. They plan to develop small modular reactor (SMR)-powered cargo ships by 2030 and push for commercialization. This collaboration is expected to give South Korean shipyards a competitive edge in the carbon-neutral ship market and allow them to counter China's shipbuilding dominance amid changing U.S. policies.

SMRs (Small Modular Reactors) are an advanced nuclear energy technology. Compared to traditional fuel or LNG-powered ships, nuclear-powered cargo ships do not need to carry large amounts of fuel, freeing up more space for cargo and improving shipping efficiency. Additionally, nuclear power means zero carbon emissions, which will help meet the increasingly strict carbon emission standards set by the International Maritime Organization (IMO).

The core technology of this partnership is the Sodium-Cooled Fast Reactor (SFR), a nuclear reactor using liquid sodium as a coolant. This technology not only improves nuclear energy efficiency but also reduces the safety risks associated with traditional nuclear reactors. HD Hyundai Heavy Industries has previously signed a supply agreement with TerraPower to provide cylindrical reactor containers, and this technology will also be applied to nuclear-powered cargo ships in the future.

Kwang Shik-won, Chief Operating Officer of HD Hyundai Heavy Industries, stated:

"This collaboration is a disruptive industry innovation that will not only accelerate the commercialization of next-generation nuclear technology but also drive the transformation of the global shipping energy structure."

This partnership comes at a time when the U.S. government plans to restrict Chinese ships from entering the U.S. market. Park Jung-seok, Chairman of the Korea Shipowners’ Association, emphasized at a recent seminar that the Trump administration is advancing the “Ships for America Act” and considering imposing high port fees on ships and operators built by China. If this bill is passed, it will significantly impact the global market competitiveness of Chinese shipbuilders, and the South Korean shipbuilding industry could become the biggest beneficiary.

Park Jung-seok said, “If South Korean shipbuilders are well-prepared and actively respond to the new U.S. policies, we will have the opportunity to secure a more advantageous position in the global market with our shipbuilding experience and technological advantages.”