PANASIA concentrates on eco-friendly marine equipment despite recession and becomes a worldwide success 

PANASIA (CEO Soo-tae Lee), a marine equipment supplier situated in the Mieum Industrial Complex, Gangseo-gu, Busan, has received international recognitional for its technology. The company has successfully dominated the global market by rolling out one eco-friendly product after another in the shipbuilding industry which has suffered a severe downturn. 

PANASIA’s de-SOx scrubber system called “PaSOx Scrubber System” was recently selected as the “World-Class Product” of the year. Its “PaNOx SCR System,” designed to treat harmful nitric oxides produced by a generator or boiler, was selected as a “Next-Generation World-Class Product,” further demonstrating the company’s world-class technology and the excellence of its products.

“World-Class Product” recipients are selected by Korea Trade-Investment Promotion Agency (KOTRA) and organized by the Ministry of Trade, Industry, and Energy. Under this program, the government provides certifications to products from global market leaders. The category is divided into “Present World-Class Product” and “Next-Generation World-Class Product.” “(Present) World-Class Product” awards are given to products with a global market share in the top five or in the top 5 percentiles. “Next-Generation World-Class Products” are given to products that seem likely to enter the top 5 in terms of global market share in the next 7 years.

The PaSOx Scrubber System (photo), the 2019 winner of the World-Class Product award, reduces sulfur oxides (particulate matter on board) in engine exhaust gases. Up until September this year, the company reported 172.19 million dollars in exports, 13 times last year’s sales (12.5 million). In 2020, the global limit imposed by the International Maritime Organization (IMO) is taking effect on all ships operating globally. This led to a sharp increase in demand for scrubbers. The company successfully localized the monitoring device, a key part of the scrubber system, for the first time in Korea. For that, the company’s technology has received recognition from many international classification societies. 

The PaNOx SCR System, selected as a Next-Generation World-Class Product, received recognition as a top-notch technology after it had been deployed in California, U.S., where the strictest regulations are in place for nitric oxides. There the system demonstrated unparalleled quality and performance. Now, PANASIA is delivering the system to several combined cycle power plants in Korea.

In 2012, PANASIA’s ballast water management system was selected as a World-Class Product. PANASIA continuously focused on developing eco-friendly products. This year, PaSOx Scrubber System and PaNOx SCR System were also selected as World-Class Products. All in all, the company now owns three World-Class Products. The PaNOx Scrubber System, in particular, beats its global competition with a 20% market share.

PANASIA also reduced the size of its flagship product, the de-SOx scrubber system, by over 30% and introduced “V. MCR.” 

A rep for PANASIA said, “We made the existing scrubber composed of two big parts into a smaller single body. That way, we solved the installation space problem for small and mid-sized 2000dwt vessels.

PANASIA is expected to report 350 billion won in sales this year. It is more than five times last year’s revenue of 64.7 billion won. To date, PANASIA has received orders for scrubbers for 324 vessels — four in 2017, 201 in 208, and 119 this year. Of them, 122 units have been shipped. The company also received orders for ballast water treatment systems for 1,501 vessels in the years since 2010. It has diversified its client base, which includes Korea’s Hyundai Merchant Marine and shipowners from China, Taiwan, and Switerland. Over 80% of its revenue comes from exports.

CEO Soo-tae Lee said, “We focused on eco-friendly marine equipment, an area that received little to no attention during the recession, and our efforts have paid off. Once we start operating Plant #2 covering an area of 13,000㎡ near the headquarters next February, we will be able to fulfill all the orders that keep on coming.” Lee added, “We put technology first and took the initiative in developing our own original, proprietary technologies in environmentally-friendly equipment. Now, we are solidifying our position as a global eco-friendly energy system expert.” He stressed, “We will make every effort to make another ‘World-Class Product’ that leads the global eco-friendly equipment market.”

 hyun@hankyung.com