Hanwha Group Chairman Kim Seung-youn.

Hanwha Group plans to accelerate efforts to solidify its core businesses, including defense, chemicals and photovoltaic power to make a “quantum jump” over then next decade. 

In his New Year’s message, Hanwha Group Chairman Kim Seung-youn urged his executives and staff members to focus on the upgrading of its business structure to secure new growth opportunities in advance of others by letting each subsidiary, including those specializing in machinery, chemicals and financial segments, secure core business capabilities. 

Chairman Kim said, “We have to have a better understanding of such changing trends as a decline in the economically active population, which will begin in earnest this year, and reflect them in a mid- and long-term business vision. Based on this, we have to strengthen competitiveness by exploring new technologies, new businesses and new markets over the next 10 years.”

Stressing that this is the first year of the last stage of implementing his group’s vision to make a quantum jump, Chairman Kim said it’s time to “go back to the basics.”

First, Hanwha Group plans to make its defense segment a global defense company by aggressively expanding overseas revenues. The group completed the restructuring of defense subsidiaries last year. Hanwha Corp. is charged with the production of ammunition, guided weapon systems, and laser projects, while Hanwha Techwin is restructured into a business of producing self-propelled artillery, unmanned robots, aircraft engines and unmanned systems. Hanwha Defense specializes in such segments as ground platforms for maneuvering, antiaircraft and launching technology. 

Hanwha plans not only to expanding Korea’s share of the global defense market, but also contribute to strengthening national defense preparedness through continued investments and R&D activities. 

The chemicals division strives to secure value-added original technologies, departing from conventional products. This move is designed to enhance unit price competitiveness and purse high-profit businesses in the mid- and long-term perspective to secure a global market leadership. 

Hanwha Chemical is hitting the accelerator to restructure product portfolios so that the company can maintain a stable growth in the chemical industry, which is prone to be affected greatly by external factors. It also aims to develop original technologies. The company plans to expand value-added products in such segments as PVC and PE to lead global markets.

The photovoltaic power division plans to solidify its position as a leading company amid fierce global market completion by securing an unrivalled technological advantage. The division, which has already secured the world’s largest production capacity, aims at raising its business performances in terms of sales and operating profit to the same level as world-class companies. Hanwha strives to make the division a global leader by upgrading management at its overseas centers in the United States, Europe and Japan, and redoubling marketing power.

The financial division plans to strengthen its overseas presence by expanding digital-based next-generation growth engines, including Fintech and big data. 

Chairman Kim stressed risk management, saying that amid a prolonging of the sagging national economy in the wake of the global financial crises, the nation’s representative companies have suffered setbacks. 

A view of Hanwha Group headquarters in downtown Seoul. (Photos: Hanwha Group)