Hyundai Group, having secured a loan from Barclays Bank in the UK, holds the completion ceremony of Hyundai Heavy Industries’ Ulsan Shipyard and the naming ceremony of its first ship, the Atlantic Baron, on June 28, 1974. / Courtesy of HD Hyundai Heavy Industries
In 1971, Chung Ju-yung, the founding chairman of Hyundai Group, visited Barclays, the largest bank in the UK at the time, in search of funding to build a shipyard. But who would readily invest in a company from a poor country with no technological prowess? Rejected by the bank, Chung tracked down Longbottom, the head of a ship consulting firm with influence at Barclays. He too shook his head. Then, Chung pulled a 500-won bill from his pocket, one that depicted Admiral Yi Sun-sin and his famed turtle ship, and used it to explain the potential of a country that had once built the world’s first ironclad warship. Moved by the “turtle ship pitch,” Longbottom wrote a letter of recommendation, and the door to building the shipyard finally opened.
Korea’s industrial history is a story of turning the impossible into reality. Every time the country set out to build a steel mill, a shipyard, or produce cars and advanced semiconductors, it was met with ridicule, called “madness” or “delusions of grandeur.” But those industries went on to fuel Korea’s economic growth. However, since the 2000s, the rise of China’s technological capabilities has posed a serious threat to Korea’s industrial competitiveness. In particular, exports of steel, automobiles, and semiconductors have taken a direct hit from the tariff war initiated under the second Trump administration, which prioritized "America First" policies.
If Korea fails to conclude its tariff negotiations with the U.S. by August 1, a 25 percent retaliatory tariff will be imposed. Japan and the EU have already negotiated their rates down to 15 percent, making the situation even more urgent for Korea, which relies heavily on exports. Japan and the EU managed this by offering major investments, US$550 billion in the case of Japan and $600 billion from the EU, and large-scale purchases of American energy, effectively buying their way to lower tariffs.
Now backed into a corner, the Korean government has raised shipbuilding as its key bargaining chip. The plan, dubbed "MASGA” (Make American Shipbuilding Great Again), echoes Trump’s signature slogan “MAGA” (Make America Great Again) and outlines Korea’s intention to support the revival of American shipbuilding through active cooperation, investment, and assistance. With world-leading technology and competitiveness in high-value shipbuilding, Korea is seeking a breakthrough in trade and economic relations with the U.S. through this sector. To succeed, not only the government but also businesses, and political circles must come together and do their utmost to protect the national interest until the very end. Just as Admiral Yi Sun-sin declared, “I still have twelve ships,” they must persevere without giving up, just like Korea’s shipbuilding industry did 54 years ago when it broke ground despite being repeatedly turned away.
