Korean Shipping Research Articles

Just War and Just Battle: North Korea’s Attack against the ROKS Cheonan and its Unexplored Discourse of an Unjustified Military Action

In March 2010, a North Korean submarine fired a torpedo against the South Korean ship Cheonan, which resulted in the deaths of 46 sailors. Is its surprise attack justified? The academic examination has rarely been made over whether North Korea’s use of military force is justified in this battle. As the just war theory to date has dealt mostly with major wars, it also can guide us to judge whether this limited warfare is just or not. The just war principles are composed of three axes: before, in and after wars. First, North Korea’s provocation had neither right cause nor right intension because it attacked the Cheonan preventively, not preemptively, and was intended to achieve its domestic objective, the stable succession of the Kim regime. Second, North Korea also did not observe in-war principles in the sense that it attacked and sank the Cheonan unproportionally to maximize the effectiveness of revenge. Third, North Korea was not interested in post-battle settlements but intended to aggravate tensions in the region, which is not compliant with post-war principles. The examination sheds some light on the need to expand the scope of just war principles from war to limited warfare and battles particularly in the sense that it helps restrain unethical warfare and maintain the rules-based international order. This expansion also will contribute to not only the richness of the just war theory but also further leading it to evolve into a grand theory of war.

How can higher maritime education lead shipping growth? Korea’s experience, 1948–1982

In January 2019, Koreans controlled 1,647 vessels and 76,701,517 deadweight, placing Korea as the world’s seventh largest shipowning country. In this article, the author reviews the contribution of the education of upper-class marine officers to the development of Korean shipping industry during the period 1948–1982. This study is organized into four main parts. In the first section, the role of human capital in economic development is reviewed, while Section 2 focuses on change in the education for merchant marine officers from 1948 to 1982. Section 3 analyzes the role of marine officers in the development of Korea’s shipping industry, while the final part considers the wider implications of the education of marine officers in the development of shipping.

우리나라 조선산업의 지역산업연관 효과분석

본 연구는 한국은행이 2020년도에 발표한 ‘2015년도 지역산업연관표’를 사용하여 우리나라의 17개 지방자치단체에 속한 조선산업의 지역별 기본 경영현황을 분석하였다. 그리고 각 지역의 조선산업에서 발생한 투자 및 수출 활동이 전국 17개 지방자치단체의 165개 소분류 산업 부문에 미친 생산, 수입, 부가가치, 고용 파급효과를 분석하였다. 우리나라의 조선산업 생산활동은 경남, 울산, 전남, 부산, 전북 지역의 선박 수출기업을 중심으로 활발히 발생했다. 그 결과 조선산업의 투자 및 수출 활동에 따른 산업연관 파급효과는 우선 이들 지역 내에서 가장 크게 나타났다. 동시에 그 효과는 지역 간 산업연관 관계를 통하여 전국 각 지자체에 차별적으로 파급되었다. 지역 간 파급효과는 서비스 산업의 비중이 큰 서울과, 기계, 전기, 금속 산업이 발달한 경기도에서 더욱 크게 나타났다. 투자와 수출의 산업 간 파급효과는 33개 대분류 기준으로 볼 때, 조선산업이 속한 운송장비 산업은 물론, 그 밖에 금속, 임가공, 기계, 장비, 사업지원서비스, 도소매 산업을 중심으로 전국 전산업에 파급되었다. 우리나라의 조선산업은 국가 경제 특히 수출에서 차지하는 비중이 매우 높다. 본 연구의 결과는 글로벌 경기순환 및 국제무역 환경의 변화에 따른 국내 각 지역의 조선산업 및 그 연관산업 그리고 지역 고용 및 지역기업 지원정책 등에 유익한 자료로 사용될 수 있을 것이다.

An Empirical Study on the Determinants of the Debt Repayment Capability of Shipping Firms in Recession

In this study, an empirical analysis of 55 ship finance cases executed by a specific ship finance bank from 2009 to 2016 during the recession period was conducted. The purpose of this study was to find the factors affecting changes in the debt performance of Korean shipping companies. The main factors were the loan nature (investment purpose, loan-to-value (LTV), syndicated loans, loan terms, put-option, balloon, and spread), financial nature (total assets turnover, net profit-to-sales ratio , debt ratio, quick ratio, total borrowing, bonds payable to total assets, interest expenses-to-sales ratio, debt service coverage ratio (DSCR), and total assets), and the company nature (company age, chief executive officer’s (CEO's) shares, and listing status). In this study, the factors affecting the debt repayment capability of domestic shipping companies (loan nature, financial nature, and company nature) were verified. The credit rating was used to measure the dependent variable, debt repayment ability. The variables of investment purpose, put-option, balloon, and spread in the loan nature, debt ratio in the financial nature, and the CEO's shares and company age in the company nature were found to be significant.

Measures to Strengthen the Competitiveness of the Korean Shipping Industry in Preparation for the Era of the Green New Deal

본 연구는 우리나라 해운산업의 현황과 위기요인을 도출하여 그린 뉴딜 시대 대비 친환경 해운산업 경쟁력 강화 방안을 검토하기 위한 것으로서, 주요 검토 내용으로는 최근 주요 국가의 친환경 해운을 위한 동향과 해운산업을 지원하기 위한 해운산업 구조조정 사례 분석 후, 시사점을 도출하여 우리나라 해운산업의 구조조정 방향과 경쟁력 강화를 위한 주요 방안을 제시하는 것을 목적으로 한다. 따라서 우리나라 해운산업의 발전방향과 경쟁력 강화를 위한 주요 방안을 구조조정 측면에서 접근하여 주요국의 해운산업에 대한 구조조정 과정을 살펴보고 그린 뉴딜 정책에 따른 우리나라 해운산업의 경쟁력 향상을 위한 전략을 모색하는 것이 본 논문의 주요 목적이다.Purpose : This study aimed to examine, the majaor measures for developing the direction and competitiveness of the Korean shipping industry from the perspective of restructuring. Research design, data, methodology : The literature from all institutions related to the focus of this paper, apart from various foreign academic journals and books, was reviewed to identify a suitable research method on the restructuring of shipping companies to derive major implications after analyzing the current status of restructuring. Results : Liner shipping companies were found to be much more competitive than tramper ones. The global trend in the liner shipping industry must first have a global network, second, a competitive edge in terms of cost, and third, good service quality without which they e cannot survive in the world market. Global liner carriers also join the Alliance because it is difficult to operate on their own. From the restructuring cases that we examined, it was clear that it would not be easy to divide ownership and operation in a dichotomy, however, this is an essential factor. Conclusions : First, the pending issues and measures should ease the interest burden on shipping companies. Second, the government should suspend repayment of the principal of the shipping company and push for the conversion of its equity investment. Third, it should be possible to repay the principal of domestic shipping companies. Fourth, a win-win structure for shipping and shipbuilding should be established.

An Ensemble-Based Approach to Anomaly Detection in Marine Engine Sensor Streams for Efficient Condition Monitoring and Analysis.

This study proposes an unsupervised anomaly detection method using sensor streams from the marine engine to detect the anomalous system behavior, which may be a possible sign of system failure. Previous works on marine engine anomaly detection proposed a clustering-based or statistical control chart-based approach that is unstable according to the choice of hyperparameters, or cannot fit well to the high-dimensional dataset. As a remedy to this limitation, this study adopts an ensemble-based approach to anomaly detection. The idea is to train several anomaly detectors with varying hyperparameters in parallel and then combine its result in the anomaly detection phase. Because the anomaly is detected by the combination of different detectors, it is robust to the choice of hyperparameters without loss of accuracy. To demonstrate our methodology, an actual dataset obtained from a 200,000-ton cargo vessel from a Korean shipping company that uses two-stroke diesel engine is analyzed. As a result, anomalies were successfully detected from the high-dimensional and large-scale dataset. After detecting the anomaly, clustering analysis was conducted to the anomalous observation to examine anomaly patterns. By investigating each cluster’s feature distribution, several common patterns of abnormal behavior were successfully visualized. Although we analyzed the data from two-stroke diesel engine, our method can be applied to various types of marine engine.

Global Value Chain of Korea’s Automobile Industry in the Global Economy

Purpose - This paper aims to analyze a disaggregated accounting structure that steadily breaks down Korea’s automobile gross exports at the sectoral, bilateral, and bilateral-sectoral levels into the sum of the various value-added and double counted items. Design/Methodology/Approach - The Leontief decomposition method is used to measure the value-added flows between industries. This method breaks down the Korean automobile sector and analyzes how changes within the sector can affect other sectors. Wang-Wei-Zhu decomposition method builds on the Leontief insight to give a more detailed look at the structures of international production networks and the respective positions of countries and sectors within them. Our dataset is derived from the World Input-Output Database (www.wiod.org), using the 2016 release version, with 2014 as the base year. The 56 sectors are aggregated into 30 while the 43 countries into 15. Findings - Korea’s principal export destinations include: the United States, Russia, China and Canada. The amount of value-added that the Korean Automobile sector has contributed to the exports of the Korean ship building sector is very significant when compared with that contributed to the exports of other sectors within the economy. Externally, the sector’s amount of value-added contribution to the exports of Russia’s mining sector (the world’s largest producer of diamonds and palladium) is very substantial. In terms of Korea’s bilateral exports, most of its exports to the United States are mainly in final goods while its trade with China is mostly in intermediate goods. Research Implications - Global value chains provide opportunities for developing countries to diversify their exports and intensify their integration into the global economy.

Review and Analysis of the Claim for Marine Ecological Damage Caused by the Oil Spill of the Sunken South Korean Ship"Golden Rose".

韩国“金玫瑰”轮沉船溢油海洋生态损害索赔案的回顾与分析.摘 要：.法医学；环境损害；海洋；溢油；沉船；海洋环境容量.

The expansion of private shipping and entrepreneurship in Korea, 1960-1981

The Korean shipping industry has developed swiftly since the 1960s, and by 2018 Korea had become one of the world’s top seven shipowning countries. From 1945 to the 1960s, the Korea Shipping Corporation, as a national shipping company, played a crucial role in leading the development of the shipping industry. Since the privatization of this national shipping company in 1968, Korean shipping has been led by private companies. This article analyzes the forces that drove the rapid expansion of private shipping companies between 1960 and 1981, and contends that government policy and the entrepreneurship of merchant marine officers were the main causal factors.

우리나라 해운선사의 사회적 책임활동 선행요인이 직무만족에 미치는 영향에 관한 연구

기업의 사회적 책임에 대한 중요성이 커지면서 다양한 산업에서 그 성과를 규명한 연구들은 활발하게 이루어져 왔으나, CSR을 이끄는 선행요인에 관한 연구는 매우 제한적으로 이루어져 왔다. 본 연구는 CSR이 당면과제로 부상하고 있는 해운선사를 대상으로 CSR의 실행에 영향을 미치는 조직 내·외부 요인을 실증적으로 규명하였다. 국내 해운선사 43개 기업을 대상으로 Smart PLS 3.0과 SPSS 18.0을 이용하여 분석하였다. 분석결과, 선사의 조직 내부 요인으로 CSR에 대한 기대, 최고경영자의 지원, 재무적 자원은 모두 CSR실행에 긍정적인 영향을 미치는 것으로 나타났다. 다음으로 선사의 조직 외부 요인으로 규제변화, 화주의 요구수준은 선사의 CSR 실행에 긍정적인 영향을 미치는 반면, 경쟁사의 대처수준은 기각되었다. 선사의 CSR실행은 종업원들의 직무만족도를 높이는 것으로 나타났다. 이러한 결과는 국내 선사들의 CSR 실행력을 높이기 위해 어떤 요인들이 동인으로 작용하는지 실증적으로 규명하였다는데 의의가 있다.

중국 선박금융 시장 연구를 통한 국내 선박금융 활성화

중국 선박금융 시장 연구를 통한 국내 선박금융 활성화

Government policy and the rise of a national shipping industry: Korea’s experience, 1967–1999

In 2017, Koreans controlled 1,656 vessels with an aggregate tonnage of 80,976,874 deadweight (dwt), placing Korea as the world’s seventh largest shipowning country. Given that Korean-owned tonnage stood at just 1.3m dwt in 1970, this represented a remarkable rate of growth over less than half a century. This article focuses on the years from 1967 to 1999 and aims to prove that government policy was one of the key causal factors in the rapid increase in Korean shipping. The paper is organised into four main parts. In the first section, the role of the government in the development of the economy is assessed, while Section 2 focuses on state policies designed to promote the shipping industry in Korea. Section 3 highlights the rise of Korean shipping from 1967 to 1999, and the final part considers the wider implications of the role of government policy in the development of the shipping industry.

동아시아의 환경변화와 한국해운·조선산업의 중흥과 부산항의 발전전략에 관한 연구

동아시아의 환경변화와 한국해운·조선산업의 중흥과 부산항의 발전전략에 관한 연구

Diversification effect of ship investment funds in South Korea

PurposeThe purpose of this paper is to examine the diversification effect of the Korean Ship Investment Fund (KSF) under Markowitz portfolio theory by analyzing short-term and long-term relationships with stocks and bonds.Design/methodology/approachFor this purpose, unit root, correlation and cointegration tests are performed. Monthly data from 2004 to 2015 for stocks, bonds and KSFs are obtained for this study.FindingsThe correlation coefficients indicate that KSFs are uncorrelated with stocks and negatively correlated with bonds, and no long-term equilibrium relationships exist with all three variables by the Johansen and Engle-Granger cointegration tests.Research limitations/implicationsThis paper makes contribution to the literature as follows: first, whereas the previous literature investigated diversification effect of ship investment using freight indices or freight rates which are not able to represent returns from ship investment, this study is the first study to use actual stock prices of the KSFs to the authors’ best knowledge; and second, diversification effect of ship investment represented by KSFs is empirically verified in the both short term and long term.Practical implicationsPolicy-makers and managers of shipping companies can have sound ground that the KSFs are alternative and attractive assets to investors. It is also shown that the KSFs have potential to improve risk and return structure of investors on their own regardless of existence of incentives. Therefore, decisions of policy-makers can be made free from expectations for stronger incentives provided by the government. In addition, those countries that do not have such a ship investment platform may consider introducing a similar ship investment fund in order to revitalize the capital markets of the country.Originality/valueThis study holds its significance in investigating diversification properties of the KSFs for the first time in Korea since the KSFs were introduced.

Analyzing Performance of Korean and Chinese Shipping Companies Based on Malmquist Productivity Index

Analyzing Performance of Korean and Chinese Shipping Companies Based on Malmquist Productivity Index

A Study on the Adoption of Korean Register of Shipping Rules through the Analysis of Pile Driving Boat Capsizing

In December 2012, a pile driving boat sunk off the coast of Ulsan port in Korea. The cause of capsizing of these boats was considered a complex problem. Although Korean Ship Safety Technology Authority concluded that leaders (cranes) of the vessel were designed with sufficient safety factors, National Forensic Service concluded that the capsizing was caused by the failure of leaders. This study reviewed the related laws, strength calculations, and structural analysis methods used by the Korea Ship Safety Technology Authority. In addition, numerical simulations were carried out on hydrodynamic analysis and structural analysis to analyze the cause of vessel capsizing based on the rules of the Korean Register of Shipping. The results were similar to those found by National Forensic Service. In conclusion, the study suggested that inspection especially for a pile driving boat subjected to the Korean Register of Shipping rules should be carried out to prevent the similar accident.

황산화물(SOx) 배출 저감 규제에 대한 국적선사의 인식과 대응 전략에 관한 연구

본 논문에서는 황산화물(SOx) 배출저감 규제에 대한 국적선사의 인식과 대응 전략을 분석하기 위해 국제해사기구(IMO)의 환경규제 현황과 선박으로부터의 대기오염방지를 위한 규칙인 국제해양오염방지협약(MARPOL) 부속서 Ⅵ, 황산화물(SOx) 배출저감 기술적 방안, 해운산업과 국적선사의 경영현황을 살펴보았다. 그리고 국적선사들 대상으로 설문을 진행하여 국적선사의 규제와 영향에 대한 인식과 대응 전략을 분석하였다.BR 평가요인의 선정 작업을 거쳐 국적선사를 대상으로 설문을 실시하였다. 빈도 및 교차 분석을 진행하여 규모별, 주력선종별 선사의 인식과 대응 전략의 차이, 국적선사의 대응 전략의 방향성을 알아보았다.BR 관련 선행연구 및 문헌들을 검토하면서 그 동안 국내외에서 다양한 관점으로 황산화물(SOx) 배출저감에 관한 여러 연구들이 시행되어왔음을 확인하였다. 본 연구에서도 규제 대응을 위한 기술적 방안들과 경제성 분석 관련 기존 연구들을 고찰하여 평가요인을 선정하였다.BR 분석 결과 대형선사가 중소·벌크선사에 비해 규제 대응의 준비가 원활히 실행되고 있는 것으로 나타났으며, 선사 규모와 주력선종별 선사의 규제에 따르는 환경적인 영향에 대한 인식이나 대응 전략에 대한 방향성은 비슷한 것으로 나타났다. 규제의 시행까지 약 2년이 남은 상황에서 정부와 관련기관의 지원 정책과 선사별 체계적인 분석과 계획을 바탕으로 적절한 대응 방안을 모색할 필요가 있다.BR 본 연구를 통해 국적선사들을 대상으로 주력선종별 선사들의 인식과 대응 전략의 차이를 파악하였지만 구체적인 대응 전략이나 기업의 데이터 수집의 한계가 존재하였다. 향후 연구에서는 본 연구의 한계점을 극복하여 보다 심도 있는 연구가 진행되어야 할 것으로 사료된다.BR 해운산업 관계자들이 황산화물(SOx) 배출저감 규제 대응 준비에 대한 중요성을 인식하고 국가적으로 중요한 해운산업의 경쟁력을 확보하기 위하여 최적의 대응 전략이 수립되기를 기대한다.

Investigating the next generation of managers – the ecomanagers

The next generation of managers emerges as a consequence of the environmental changes that affect the world economies. In this paper is presented the profile of the new type of manager adjusted to the current world trends: the ecomanager. While ecomanagement refers to strategies implemented to minimize or eliminate the adverse effects of human activities on the environment, ecomanagers are those develop and implement environmental policies in all the management activities and in the entire workflow of the organization. In this paper is presented an example of implementing ecomanagement in a Korean shipping company and there are presented specific ecomanagement strategies and actions regarding both onshore and offshore activities.

The reduction of SOx emissions in the shipping industry: The case of Korean companies

As stricter environmental regulations for sulphur oxide (SOx) emissions emerge, the shipping industry has been deliberating new fuelling options. The three main alternatives for reducing sulphur emissions are switching to higher-quality and low sulphur fuels (commonly referred to as distillates), installing exhaust fuel cleaning structures (frequently referred to as scrubbers), retrofitting present vessels to operate as liquefied natural gas (LNG) powered vessels. Nevertheless, few studies evaluate the three existing alternatives that can reduce marine air exhausts, and fewer develop a general model for a resolution to the choice of the best technology. This study performs an empirical analysis focusing on the three alternatives considered by Korean shipping companies. The main approach involved conducting surveys and interviews to examine Korean shipping companies’ actual response to cope with SOx regulation. The results indicate that, among the nine sub-criteria regarding response to SOx regulation, investment costs (F11) are the most significant factor. In addition, through a description analysis of Korean shipping companies, this study found that there is a difference in the recognition and response direction among companies according to their size.

Risk perception affecting the performance of shipping companies: the moderating effect of China and Korea

ABSTRACTRisks in the shipping industry have been highlighted and have attracted significant attention, especially following the bankruptcy of Hanjin in 2017. Due to the decrease in container volume, the business environment for large shipping companies in China has deteriorated. Therefore, major large shipping companies have implemented mixed ownership reform, which provides more opportunities for large Korean shipping companies to enter the Chinese shipping industry. This study first identifies risk perception, specifically focusing on the moderating effect of Chinese and Korean shipping companies, and then demonstrates the impact of these risks on shipping company performance. The results show that market, operational, and technical risks have a negative influence on Chinese shipping companies, whereas market, policy, financial, operations, and technical risks have a negative influence on Korean shipping companies. This study contributes to the fundamental understanding of the effect of risk perception on performance among shipping companies in both countries and calls for further research on risk management plans based on the risk factors identified herein. On a practical level, this study provides an important reference for operators and investors who seek to enter strategic alliances or joint venture in Chinese shipping industry.