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China approves Hyundai Heavy’s merger with DSME

China’s anti-trust authority has given the greenlight to the merger between two major South Korean shipbuilders Hyundai Heavy Industries Holdings (HHI) and Daewoo Shipbuilding and Marine Engineering (DSME).

China’s State Administration for Market Regulation has reached a consensus that the potential merger will not hurt fair market competition and issued unconditional approval for the merger.

It is the third approval the yards have received after anti-trust agencies in Kazakhstan and Singapore gave the go ahead for the takeover.

HHI entered into a deal to purchase a 55.72% stake in DSME last year. The merger would create one of the world’s largest shipbuilders.

Currently the merger is still under review by the antitrust regulator of European Union.

In February, the Japanese government filed a petition at the World Trade Organisation questioning the legitimacy of the merger.

CSSC and CSIC, the two major state-run shipbuilding conglomerates in China, also completed a merger, creating China Shipbuilding Group last year.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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