South Korean shipping stocks took a hit on Tuesday as worries about a slowing global trade, fueled by U.S. tariff policies, weighed on investors’ minds. But not all was down—Hanmi Pharmaceutical shares climbed after landing a big licensing deal with U.S. biotech giant Gilead Sciences.
In the shipping sector, shares of HMM Co. dropped 0.7% to 20,450 won (about $14.58). Pan Ocean Co. fell 1.0%, and Korea Line Corp. slipped 0.1%. Samsung Securities shifted its outlook on the industry to neutral and downgraded HMM from buy to hold, cutting its price target to 22,000 won per share.
Analyst Kim Young-ho pointed out that falling container freight rates are a drag, while bulk shipping rates are cooling off after a peak. He added that U.S. tariffs and a wave of new vessel deliveries are adding extra risks to the South Korean shipping industry amid the global trade slowdown.
On a brighter note, Hanmi Pharmaceutical Co. jumped 2.15% to 380,500 won. The company announced a global partnership with Gilead Sciences and Hong Kong-based Health Hope Pharma (HHP) for its oral absorption enhancer drug, Encequidar. Under the deal, Gilead gets exclusive worldwide rights to the technology, and Hanmi along with HHP will pocket upfront payments, milestone fees, and royalties.
Korea Investment & Securities highlighted that a 3.5 billion won upfront payment should hit the books in the third quarter of 2025, helping steady Hanmi’s earnings. The firm kept Hanmi as its top pick in the pharmaceutical sector, with a price target of 520,000 won.
By the close of trading, HMM shares ended at 20,050 won, while Hanmi Pharmaceutical settled at 367,000 won. ()
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