Top US figures visit Seoul to meet defense industry leaders
Vice Chairman Kim also hosted US Navy Secretary John Phelan Wednesday at Hanwha's shipyard in Geoje, roughly 200miles southeast of Seoul.
"Working with leading shipyards like Hanwha Ocean Shipbuilding and HD Hyundai Heavy Industries is essential to ensuring deployed U.S. ships and systems remain fully operational in the Indo-Pacific," Secretary Phelan said.
"Leveraging the expertise of these highly capable shipyards enables timely maintenance and repairs for our vessels to operate at peak performance. This level of large-scale repair and maintenance capability strengthens our combat readiness, sustains forward deployed operational presence, and reinforces regional stability," he stated
Observers point out that such visits reflect growing global recognition of South Korea's defense capabilities.
Hanwha Group operates such subsidiaries as Hanwha Aerospace, known for the K9 self-propelled howitzers, and Hanwha Ocean, a manufacturer of warships and submarines.
As the eldest son of Chairman Kim Seung-youn, Vice Chairman Kim is regarded as the heir apparent of South Korea's seventh-largest conglomerate.
"For the United States, South Korea is indispensable to reviving its shipbuilding industry, as President Donald Trump has stressed," Seoul-based consultancy Leaders Index CEO Park Ju-gun told UPI.
"Washington is likely to seek South Korea's capital and technology as the country is a global leader in naval vessel construction. Hanwha Ocean is well-positioned, having already invested in the U.S. last year," he said.
In June 2024, Hanwha Ocean and its sister company channeled $100 million to acquire Philly Shipyard, which has delivered about half of the large U.S. Jones Act commercial ships since 2000.
Hanwha Ocean was soon awarded a maintenance, repair, and overhaul (MRO) contract for the U.S. Navy's dry cargo and ammunition ship Wally Schirra.
The task was completedin Geoje and Hanwha Ocean is now working on another MRO deal for USNS Yukon, a replenishment oiler assigned to the Navy's 7th Fleet.
Beyond the U.S., the traditional weapons of South Korea gained popularity after the war between Russia and Ukraine started in early 2022.
According to South Korea's defense ministry, arms exports more than doubled from $7.73 billion in 2021 to $17.3 billion in 2022. The figure dropped to $13 billion in 2023 and $9.5 billion last year, but is projected to rebound to $24 billion this year in consideration of ongoing negotiations with multiple countries.
In addition to Hanwha, several other South Korean defense corporations have proactively entered the global market, including Hyundai Rotem, Korea Aerospace Industries, LIG Nex1, and HD Hyundai.
"South Korean firms are favored by global buyers for their quick delivery and cost-effectiveness, the advantages shaped by the country's continued weapons production amid North Korean threats," Jeonbuk National University professor Jang Won-joon said in a phone interview.
"Their international rivals are also trying to expand facilities to better meet demand. Against this backdrop, South Korean players will need to innovate to maintain their edge in the long run," he commented.
However, some critics take issue with the Seoul administration's lack of transparency in arms exports.
"The Korean government vows to become one of the world's top four arms exporters. Yet, it does not disclose related information transparently," attorney Lim Jae-sung noted in a local newspaper column.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Business Wire
16 minutes ago
- Business Wire
KBRA Comments on Colony Bankcorp, Inc.'s Proposed Acquisition of TC Bancshares, Inc.
NEW YORK--(BUSINESS WIRE)--On July 23, 2025, Fitzgerald, GA-based Colony Bankcorp, Inc. (NYSE: CBAN) ("Colony"), parent company of Colony Bank, and Thomasville, GA-based TC Bancshares (OTCQX: TCBC) ('TC Bancshares'), parent company of TC Federal Bank, jointly announced that they had entered into a definitive agreement pursuant to which TC Bancshares, Inc. would merge with and into Colony Bankcorp, Inc., and TC Federal Bank would merge with and into Colony Bank. The transaction, valued at $86.1 million (P/TBV: 1.1x), is 80% stock and 20% cash consideration and is expected to close in 4Q25 pending regulatory approval. Under the agreement, Greg Eiford, TC Bancshares' President and CEO, would be joining CBAN as an Executive VP and Chief Community Banking Officer. In our view, the proposed acquisition is in line with Colony's overall growth strategy of expansion into contiguous markets through both acquisitive and organic means. The transaction allows CBAN to expand its footprint in Georgia, notably, in Thomasville and the Savannah MSA, in addition to Tallahasse and Jacksonville, Florida, while providing solid opportunities for commercial growth and expansion of its fee-based business lines and continuing focus on its commitment to community banking. The acquisition is expected to add approximately $571 million in assets to CBAN's balance sheet at close, with proforma $3.8 billion in total assets, $2.4 billion in loans, and $3.1 billion in deposits, as well as adding 4 branch locations. The combined company's pro forma financial projections include strong profitability metrics following the close of the transaction, in part, due to expected cost savings of approximately 33% of TCBC's operating base. In addition to the cost savings, earnings should receive a temporary boost from accretion income, with CBAN reporting an estimated $13.3 million in interest rate marks on the loan portfolio. Regarding credit quality, both institutions have reflected solid asset quality performance over time, including nominal credit loss history, which is underpinned by disciplined underwriting and conservative management teams that have extensive knowledge of operating markets. The proforma loan portfolio is not expected to change materially as both institutions have complementary loan mixes, with investor CRE remaining the largest component at ~32% of total loans (including multifamily), followed by C&I (including owner-occupied CRE) at ~25%, and residential mortgage at 22%. CBAN conducted a review of the loan portfolio (67% of loans) and expects to record a total gross pre-tax credit mark of $4 million (1%) along with a Day 2 CECL adjustment of $2 million in relation to the transaction. With respect to deposit mix, TCBC maintains a deposit base concentrated in interest-bearing deposits resulting in somewhat elevated deposit costs of 2.45%. That said, NIB deposits are solid at 15% of total deposits as of 2Q25. Furthermore, Colony has managed solid capital metrics with a CET1 ratio of 12.3% at 2Q25, and management anticipates this ratio to improve to 12.5% at closing. Overall, we believe that the proposed acquisition complements CBAN's growth strategy, and while there is an inherent level of integration risk involved with any bank M&A transaction, such risk is somewhat mitigated by management's previous M&A integration experience. About KBRA KBRA, one of the major credit rating agencies, is registered in the U.S., EU, and the UK. KBRA is recognized as a Qualified Rating Agency in Taiwan, and is also a Designated Rating Organization for structured finance ratings in Canada. As a full-service credit rating agency, investors can use KBRA ratings for regulatory capital purposes in multiple jurisdictions. Doc ID: 1010527

Epoch Times
18 minutes ago
- Epoch Times
Intel Shares Plunge on Layoffs, Foundry Pullback
Announcing its second-quarter results on July 24, Intel Corp. said it is moving ahead with plans to cut about 15 percent of its staff by year's end and scale back its plans to build chip facilities overseas. Its shares plunged more than 9 percent during the July 25 trading session. The Santa Clara, California-based technology firm expects to maintain a core workforce of about 75,000—a reduction from 108,900 employees as of December 2024.
Yahoo
29 minutes ago
- Yahoo
Fiserv revenue forecast dims
This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. Dive Brief: Fiserv executives spent much of Wednesday's second-quarter earnings call explaining why the payments processing behemoth's revenue for the quarter came in below Wall Street analysts' expectations. Milwaukee-based Fiserv reported 8% revenue growth for the second quarter compared to the same quarter in 2024. That was lower than the double-digit growth figures that some analysts projected. Fiserv also adjusted its revenue projections for the rest of 2025, CEO Mike Lyons told investors on Wednesday's call. The previous guidance predicted between 10% and 12% revenue growth compared to 2024, he said. The updated guidance now projects 10% revenue growth for the year, Fiserv's second-quarter earnings release showed. Dive Insight: Lyons and Chief Financial Officer Bob Hau attributed the lower-than-expected figures to delayed initiatives, along with economic uncertainty. 'Some of that is on us, and some is driven by factors that we don't fully control,' Lyons said during prepared remarks, although he did not elaborate. The CEO singled out the unified payments platform Commerce Hub and the billing platform CashFlow Central as services the company hoped would have expanded more so far this year. He provided few additional details, even when pressed by analysts during the question-and-answer session on Wednesday's call. Fiserv is not falling short of its revenue projections, a spokesperson stressed in an emailed statement, the company instead expects to see revenue at the lower end of the range it projected earlier in the year. "The delays mentioned [in the earnings call] are not specific to any products or initiatives," the spokesperson said. "Instead, we are experiencing longer-than-expected timelines to market in some cases and to implement products in others. These are simply timing adjustments, not changes in strategy. We remain confident in the long-term value of these initiatives." Fiserv also announced on Wednesday an agreement to buy part of TD Bank Group's Canadian merchant processing business. The deal includes a portfolio of 3,400 small businesses at 30,000 locations that will migrate to Fiserv's Clover point-of-sale system, a Wednesday news release said. The release also said the payment processor signed a multi-year agreement to provide Clover's services to Canadian businesses supported by TD Merchant Solutions. While Lyons hinted at 'an uncertain macro environment,' he did not directly link the earnings figures to economic headwinds. Still,forecasters have projected a possible recession this year. JPMorgan Chase in May put the odds of the economy sliding into recession in the second half of the year at 40%, citing, among other things, President Donald Trump's on-again, off-again tariff threats. Previous growth projections were based on 'a relatively strong macroeconomic outlook,' Lyons said of the revised revenue forecast during the earnings call, but stressed that Fiserv still expects revenue growth to pick up in the second half of 2025, compared to the first half. The processor reported $5.52 billion in revenue for the second quarter, an 8% increase over the $5.1 billion it reported in the year-ago quarter. The company also reported second-quarter net income rose 14% to $1.02 billion, from $894 million in the year ago quarter. The company's stock has been in a downward trend this year as the business adjusts to leadership changes after Frank Bisignano said late last year he would exit Fiserv' CEO post to lead the Social Security Administration under the Trump administration. Lyons stepped into the role in May. Fiserv's stock fell on Wednesday following the company's earnings report. The stock price closed at $143 Wednesday after touching $128.22, down from a close of $165.98 on Tuesday, according to Yahoo Finance data. Analysts had mixed views of near-term prospects for Fiserv. 'We anticipate a modest second half 2025 organic revenue growth reacceleration,' analysts for the financial firm William Blair wrote in a note to investors following the earnings call. Although they added, 'that said, near-term performance will likely be choppy, and we think management will have to dig out of a credibility hole of its own making.' Clarification: The story has been updated to provide stock price data from Yahoo Finance. Recommended Reading Fiserv exec talks real-time payments and challenges Se produjo un error al recuperar la información Inicia sesión para acceder a tu portafolio Se produjo un error al recuperar la información Se produjo un error al recuperar la información Se produjo un error al recuperar la información Se produjo un error al recuperar la información