President Kim Yang-soo of Korea Ocean Business Corporation (KOBC). (Photo: KOBC)

President Kim Yang-soo of Korea Ocean Business Corporation (KOBC) took office on Aug. 23.

In his inaugural speech, KOBC President Kim said, “KOBC has so far helped to rebuild the Korean shipping industry, and now KOBC has to play a role to make Korea a leader in the shipping industry.”

“We have to provide support so that Korean flag-carrier shipping companies can be self-sufficient by restructuring core business assets, such as ships and port terminals, into high-efficiency, low-cost ones, based on financial and tax support and the private sector’s ship financing. The introduction of a tax lease scheme for ships can be reinvigorated,” he said.

President Kim proposed tasks such as the development of guarantee products targeting SME shipping companies, supporting the conversion of eco-friendly ships and facilities, and building systematic shipping industry policy support regimes.

Kim graduated from Korea University History Department, then earned a master’s degree in marine policy from Washington State University, and then a doctorate degree in logistics from Incheon University.

President Kim began his career after passing the 34th higher administrative examination in 1991. He held major positions of the Ministry of Oceans and Fisheries (MOF) such as spokesman, deputy minister in marine policy and deputy minister in charge of planning and coordination before wrapping up his official career as MOF vice minister.

He once served as a chair-professor of Incheon University. His term is three years until Aug. 22, 2024.

KOBC Helps National Flag Carriers Overcome Crisis

Korea Ocean Business Corporation (KOBC) has so far provided 6,140.5 billion won in financial support to 87 maritime companies.

Thanks to the financial support, Hyundai Marine Merchant (HMM) has shifted into an operating profit for the first time in 10 years.

SME enterprises have seen their financial situation improve. KOBC has been credited with playing a part in taking steps to cope with environmentally stringent restrictions and help shippers restore management to normal.

KOBC President Kim Yang-soo said, “KOBC has implemented a variety of support policies, including policy financing to help the Korean shipping industry, which has been struggling with difficulties, overcome a crisis and maintain sustainable management since its establishment in 2018.”

“Even though the difficult situation, which is never predicting its future due to the spread of the COVID-19 pandemic, the shipping industry and the rank and file of KOBC have made joint efforts, which have contributed to helping national flag-carriers stabilize their management and the Korean shipping industry get back to life.”

Of late, the shipping industry is facing a new and unfamiliar environment, said KOBC President Kim, adding that fluctuations in the shipping market have been expanded due to the protracted pandemic.

The shipping industry is also facing a crisis, caused by international organizations’ strengthening of environment restrictions to address climate change, he said.

The shipping industry badly needs a shift into overall digital transformation management such as self-navigating ship, smart port and blockchain, President Kim said.

KOBC plans to ramp up support so that the Korean shipping industry can brace for rapid environmental changes in advance base on its role of buttressing the resurrection of the Korean shipping industry and make a leap forward as a global leader, he said.

First, President Kim said, KOBC will continue to provide support so that shipping companies can tide over difficulties, caused by the protracted pandemic.

KOBC will expand investments and guarantees so that national flag carriers can restructure their core assets such as ships, port terminals and logistic facilities into a low-cost and high-efficiency one and implement diverse projects such sale & lease back format designed to help shippers overcome a temporary liquidity crisis.

Secondly, he said, KOBC will help the Korean shipping industry secure future growth engines. KOBC will offer a variety of financial support programs so that national flag carriers can secure major logistics centers, hinterland logistics sites and carbon neutrality energy infrastructure.

Thirdly, he said, KOBC will support national flag carriers’ management innovation.

KOBC will help national flag carriers improve their capability to cope with economic changes and ramp up their risks by scientifically analyzing data of transaction entities participating in the shipping market and providing meaning related information.