A view of Hanwha Group headquarters (Photo courtesy of Hanwha Group)
SEOUL, Aug. 5 (Korea Bizwire) — Hanwha Group has recorded the largest increase in corporate value among South Korea’s top 10 business groups this year, buoyed by surging stock prices in its defense and shipbuilding affiliates and optimism over its role in U.S.-Korea trade negotiations.
According to data compiled from the securities industry and Hanwha Group, the combined market capitalization of the group’s 13 listed subsidiaries soared to 120.7 trillion won (approx. $92 billion) as of August 1, up 77.2 trillion won from 43.5 trillion won at the end of 2024. The 177% gain far outpaces the broader Kospi’s 30.6% rise and the 30.3% average increase among other top-tier conglomerates.
Hanwha now ranks fifth in overall market cap among Korea’s business groups, with the highest growth rate in the top 10, followed by HD Hyundai (51.7%) and SK Group (35.7%). Hanwha’s performance accounted for nearly 13% of the Kospi’s total gains this year, despite comprising just 2.3% of the index’s total market cap at the end of last year.
Much of the rally is attributed to strong performances by Hanwha Aerospace, Hanwha Ocean, and Hanwha Systems, which have benefited from expanding global defense spending and favorable developments in the U.S.-Korea tariff negotiations.
Hanwha Aerospace’s stock has jumped 245.1% since late 2024, bolstered by record earnings in the first half of 2025 and a successful 4.2 trillion won capital raise. The company posted 11.9 trillion won in revenue and 1.4 trillion won in operating profit for the period.
Hanwha Ocean (Image courtesy of Hanwha Ocean)
Meanwhile, Hanwha Ocean, which was acquired for just 3 trillion won in 2023, has seen its valuation surge more than tenfold to 35.9 trillion won. The company’s shares have climbed 200.1% this year, aided by expectations of U.S. order flows and its key role in the Mutual Advanced Shipbuilding Growth Alliance (MASGA), a Korea-U.S. cooperation initiative.
Hanwha Ocean is currently the only Korean shipbuilder with a U.S.-based shipyard, having acquired Philadelphia Shipyard last year. Its American footprint is widely seen as a strategic lever in the recently concluded U.S.-Korea tariff negotiations under President Trump’s second administration, a process that helped propel Hanwha Ocean’s shares to new highs.
“While South Korea is currently supporting America’s shipbuilding revival, in the long run we expect to see reciprocal orders for commercial and naval vessels,” said Byun Yong-jin, an analyst at iM Securities. “This opens a new growth chapter for Hanwha Ocean.”
Reflecting investor confidence, Hanwha Asset Management’s “PLUS Hanwha Group ETF,” launched late last year, recently surpassed 180 billion won in net assets with a year-to-date return of 151.6% — the highest among domestic conglomerate-themed ETFs.
M. H. Lee (mhlee@koreabizwire.com)
