Hanjin to spend $86M more in Subic facility

HANJIN Heavy Industries and Construction Corp (HHICC) is making an additional $86 million in capital infusion in its Subic shipbuilding facility.

The Subic Bay Metropolitan Authority (SBMA) said Hanjin has registered a new investment with the agency for the production of ship components at the Subic facility.

The SBMA said the capital infusion would be committed in two parts: $29million starting September this year, and $57 million next year and onwards.

By September, Hanjin will begin local production of ship components which they normally import from Korea for the assembly of ships at the Subic shipyard.

This will make the ships produced at the Hanjin shipyard in Subic, entirely Philippine-made.

As of 2008, Hanjin has invented $1.6 billion for the facility. As of January,it had 16,874 employees working in Subic.

The entry of Hanjin into the country has made the Philippines the fourth largest shipbuilder in the world.

Hanjin is now Subic’s leading exporter with freight-on-board (FOB) value of $179.36 million n the first quarter.

The company started operations in Subic in 2006. The first oceangoing vessel constructed in Subic by Hanjin was delivered in 2008.

Hanjin is expected to continue boosting Subic’s revenue and employment generation programs vy turning out 15 new container vessel this year.

By 2016, Hanjin will manufacture the world’s largest gas tanker and cargo ship in this facility.

--By. Irma Isip – Malaya