Hyundai Glovis, LGL to review SMR-powered car carrier on Korea-US routes
Version 2: Additional Korean outlets filled in details of the same announcement: the agreement remains a feasibility review with no investment, order or commercialisation timeline, the June Approval in Principle was obtained jointly with shipbuilders and a nuclear research institute, and regulatory questions over port access, accident liability and spent fuel remain unresolved.
In short
Hyundai Glovis said it signed a memorandum of understanding with US logistics firm Liberty Global Logistics to jointly review commercial operation of a car carrier powered by a small modular reactor on Korea-US routes. Under the deal, Hyundai Glovis assesses Korean port characteristics, regulations and operating requirements while LGL reviews US rules and operating conditions. Hyundai Glovis obtained an Approval in Principle from Lloyd's Register in June for a conceptual SMR-powered car carrier design, and the companies' review is at the feasibility stage with no investment, order or commercialisation timeline given.
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Hyundai Glovis said on October 6 that it signed a memorandum of understanding with US logistics company Liberty Global Logistics (LGL) to jointly review the commercial operation of a car carrier (PCTC) powered by a small modular reactor on Korea-US routes. The signing ceremony was held on September 30 local time at LGL's headquarters in Jericho, New York state, attended by Kim Tae-woo, head of Hyundai Glovis's logistics business unit and a vice president, and LGL president David R. Minetti, according to the reports. [ 1 , 3 , 4 , 5 , 6 ]
Under the agreement, Hyundai Glovis will assess the characteristics of Korean ports, the regulatory environment and operating requirements, while LGL reviews US-related regulations and the operating environment. The two sides will also study the feasibility of developing and building the vessel, its flag state and classification society, and commercialisation strategy, the documents say. [ 1 , 3 , 6 , 7 ]
LGL is described as a shipping and international multimodal transport specialist handling cars, heavy equipment, heavy and project cargo, and as a major contractor to the US Department of Defense that also carries US government cargo, including military freight. [ 1 , 3 , 6 , 7 ]
The reports say that using an SMR as a ship's power source can sharply reduce carbon emissions during operation compared with fossil-fuel ships and allow long periods of sailing without refuelling. Because fuel tanks and exhaust emission equipment would not be needed, the companies expect cargo space on board to be used more efficiently. [ 1 , 3 , 6 , 7 ]
Hyundai Glovis has already obtained an Approval in Principle from Lloyd's Register for a conceptual design of an SMR-powered PCTC, issued in June at the Posidonia shipping fair in Athens, Greece. An AiP is a classification society's review of a concept design's technical feasibility and safety against international rules and safety standards before a ship is built. The Seoul Economic Daily reported that the approval was obtained jointly with HD Hyundai Heavy Industries, HD Korea Shipbuilding & Offshore Engineering, G-Marine Service and the Korea Atomic Energy Research Institute. [ 1 , 3 , 6 , 7 ]
On policy, the documents note that the Korean government is pushing the development and wider use of an innovative SMR (i-SMR) under an SMR special law, and is pursuing SMR ship development combining nuclear, shipbuilding and marine technology as part of “K-Moonshot”. [ 1 , 3 , 7 ]
The Kyunghyang Shinmun reported that the agreement is a feasibility review and contains no investment scale, order plan or commercialisation date, and that a nuclear-powered merchant ship would also require port entry permission, accident liability arrangements and spent fuel disposal to be settled. A Hyundai Glovis official said the company plans to verify the various conditions needed for actual commercial operation through this cooperation, adding that it has widened its review from LNG dual-fuel PCTCs to next-generation zero-carbon ship technology. [ 1 , 3 , 6 , 7 ]
Why it matters
The agreement puts a Korean shipping and logistics company among those examining nuclear-powered commercial vessels, a field the Korean government is also promoting through its SMR policy and shipbuilding research programmes. If port and regulatory conditions on both sides of the Pacific can be met, a Korea-US route would serve as a test case for cutting shipping emissions without refuelling. The documents describe a feasibility review only, so no vessel or service is yet committed.
Key facts
- Hyundai Glovis said it signed an MOU with US firm Liberty Global Logistics on joint review of commercial operation of an SMR-powered car carrier (PCTC) on Korea-US routes. [ 1 , 3 , 4 , 5 , 6 , 7 ]
- The signing ceremony was held on September 30 local time at LGL's headquarters in Jericho, New York state, attended by Hyundai Glovis logistics business head Kim Tae-woo and LGL president David R. Minetti. [ 1 , 3 , 4 , 5 , 6 ]
- Under the agreement, Hyundai Glovis will analyse Korean port characteristics, the regulatory environment and operating requirements, while LGL examines US-related regulations and operating conditions. [ 1 , 3 , 6 , 7 ]
- The two companies will also study ship development and construction feasibility, flag state and classification society questions, and commercialisation strategy. [ 1 , 3 , 6 , 7 ]
- LGL is described as a shipping and international multimodal transport company handling cars, heavy equipment, heavy and project cargo, and as a major contractor to the US Department of Defense carrying US government cargo. [ 1 , 3 , 6 , 7 ]
- Hyundai Glovis said SMR propulsion can sharply cut carbon emissions during operation, allow long periods without refuelling and free cargo space by removing fuel tanks and exhaust equipment. [ 1 , 3 , 6 , 7 ]
- Hyundai Glovis obtained Approval in Principle from Lloyd's Register in June at the Posidonia shipping fair in Athens for a conceptual design of an SMR-powered PCTC. [ 1 , 3 , 6 , 7 ]
- The Korean government is pursuing innovative SMR (i-SMR) development under an SMR special law and SMR ship development combining nuclear and shipbuilding and marine technology as part of “K-Moonshot”. [ 1 , 3 , 7 ]
Confirmed by several sources
- Hyundai Glovis signed an MOU with Liberty Global Logistics covering joint review of an SMR-powered car carrier. [ 1 , 3 , 4 , 5 , 6 , 7 ]
- The joint review covers commercial operation of such a vessel on Korea-US routes. [ 1 , 3 , 6 , 7 ]
- The signing ceremony took place on September 30 at LGL's headquarters in Jericho, New York state. [ 1 , 3 , 4 , 5 , 6 ]
- Hyundai Glovis received an Approval in Principle from Lloyd's Register in June for a conceptual SMR-powered PCTC design. [ 1 , 3 , 6 , 7 ]
- The Korean government is promoting i-SMR development and SMR ship development. [ 1 , 3 , 7 ]
Still unclear
- Whether the two companies will proceed to build or commercially operate an SMR-powered car carrier. The documents describe a joint feasibility review and say the conditions for actual commercial operation still have to be verified.
- The investment size, order plans and commercialisation timing. The Kyunghyang Shinmun report states explicitly that none of these figures are included in the agreement.
- How port entry permission, accident liability and spent nuclear fuel disposal would be handled. Only the Kyunghyang Shinmun report mentions these as institutional tasks that would have to be resolved before a nuclear-powered merchant ship could operate.
- Details of the cooperation beyond the MOU headline, including which partners were involved in the earlier Approval in Principle. The Newsis article text carried under its headline concerns an unrelated police investigation into financial-sector hacking, so that outlet contributes only its headline; the joint partners in the AiP are named only in the Seoul Economic Daily report.
What local media are saying
Timeline, local time
- Hyundai Glovis and Liberty Global Logistics hold an MOU signing ceremony at LGL's headquarters in Jericho, New York state. [ 1 , 3 , 4 , 5 , 6 ]
- Asia Economy publishes its report on the SMR-powered car carrier agreement. [ 1 ]
- Newsis publishes a report headlined on the SMR car carrier commercialisation plan; the article text beneath the headline concerns a police investigation into financial-sector hacking. [ 2 ]
- Yonhap publishes its report on the joint review of a Korea-US route. [ 3 ]
- Chosun Ilbo publishes Korean and Japanese summaries of the agreement. [ 4 , 5 ]
- Kyunghyang Shinmun publishes its report, noting the review stage and unresolved regulatory tasks. [ 6 ]
- Seoul Economic Daily publishes its report, including the partners in the June Approval in Principle. [ 7 ]