South Korean shipping company HMM has placed a KRW 4 trillion ($2.8bn) newbuilding order comprising 12 container vessels and two very large crude carriers (VLCCs) as part of its fleet modernization strategy.

The 13,000 TEU container ships will all feature LNG dual-fuel capability and will be constructed by HD Hyundai Heavy Industries and Hanwha Ocean. The order forms part of HMM's broader push to expand its alternative fuel fleet portfolio ahead of stricter environmental regulations.

According to Clarksons Research, alternative fuel vessels accounted for nearly 50% of all newbuilding orders last year, with over 70% of these powered by LNG systems.

HMM's existing fleet already includes methanol-powered container ships and LNG-powered vessels. The addition of the new dual-fuel ships will further strengthen the carrier's fleet of vessels powered by alternative fuels.

The two VLCCs included in the order will contribute to diversifying HMM's bulk shipping portfolio beyond its core container business.

The investment aligns with HMM's 2030 mid-to-long-term strategy, which aims to secure a more flexible fleet capable of adapting to evolving global market conditions and regulatory requirements.