Seoul: HMM Co., South Korea's largest shipping firm, announced on Thursday that its management and labor union have reached an agreement to move the company's headquarters from Seoul to Busan, a southeastern port city. The decision is set to be formalized at an extraordinary shareholders' meeting scheduled for May 8, with the completion of related legal procedures anticipated within the following month.

According to Yonhap News Agency, this move aligns with recent developments, including the Ministry of Oceans and Fisheries' relocation from Sejong to Busan in December. This shift is in accordance with President Lee Jae Myung's initiative to establish Busan as a maritime hub in Northeast Asia. Smaller rivals of HMM, such as SK Shipping Co. and H-Line Shipping Co., have also opted to relocate their headquarters to Busan.

President Lee expressed his approval of the agreement between HMM and its labor union, following extensive negotiations. He stated on social media platform X that he anticipates the agreement will bolster the competitiveness of South Korea's shipping industry and support balanced regional development. He assured that the government intends to provide assistance for HMM's growth into a global shipping company.

Oceans Minister Hwang Jong-woo also committed to supporting HMM's relocation plan. He mentioned that the government would coordinate with Busan and relevant financial authorities to explore taxation and financing incentives that could facilitate the move.