Job losses to follow as South Korean shipbuilding industry slumps

© Stephan Scherhag

Up to 50,000 people could lose their jobs in the South Korean shipbuilding industry as demand for new ships is expected to remain low. Cheap fuel and weak world trade have contributed to a global 71% year-on-year slump in shipbuilding orders in the first quarter. In South Korea, orders are expected to fall 85% in value this year. The shipbuilding companies in the country are all trying to restructure, or boost their coffers, after the main three racked up losses totalling KW7.7tn ($6.54bn) last year.