SCA, Hyundai Corporation mull partnership on shipyard development, clean energy projects
Updated 8/25/2025 7:30:00 AM
Arab Finance: Chairman of the Suez Canal Authority (SCA) Osama Rabie met with In-Bum Choi, senior vice president of Hyundai Corporation and executive director of its infrastructure and machinery sector, to discuss cooperation in shipyard development and clean energy initiatives, as per a statement.
Talks focused on exploring a partnership agreement to modernize the authority’s shipyards and affiliated companies, alongside bilateral coordination on projects related to the use of clean energy.
Rabie emphasized that the global shipbuilding and repair market faces major challenges as the International Maritime Organization (IMO) pushes for the transition to environmentally friendly fuels, creating opportunities for constructing and repairing green ships at the SCA's facilities.
The cooperation includes a funding grant from Hyundai to establish a hall, classrooms, and a natural gas training station at the authority’s vocational training center in Port Said, where students will be trained in LNG station operations.
Discussions also covered plans to develop the Port Said Naval Arsenal, establish a backstop in the El Gouna area of Port Fouad to build eco-friendly marine units, and introduce ship scrapping using modern, sustainable methods.
Rabie noted that the partnership extends to technical studies, designs, and feasibility work for upgrading the Suez Naval Arsenal Company with the latest technologies in ship maintenance and repair.
He directed that work be accelerated on the required studies to move toward implementation.
Choi confirmed Hyundai’s commitment to advancing cooperation, noting that implementation of the training center grant has already begun, with equipment procurement underway and training scheduled to commence in the 2026 academic year.
He added that Hyundai has completed preliminary studies and proposals for the Suez Shipyard Company, with a memorandum of understanding (MoU) expected within six months to launch further studies and designs ahead of project execution.
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