• Journal of Navigation and Port Research
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• v.46 no.4
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• pp.375-384
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• 2022

The shipping industry is cyclically impacted by complex variables such as various economic indicators, social events, and supply and demand. The purpose of this study was to analyze the operating profit of 13 Korean liner companies over 30 years, including the financial crisis of the late 1990s, the global financial crisis of the late 2000s, and the COVID-19 global pandemic. This study was conducted to also identify factors that impacted the profit ratio of Korea's liner shipping companies according to economic conditions. It was divided into ocean-going and short-sea shipping, reflecting the characteristics of liner shipping companies, and was analyzed by hierarchical multiple regression analysis. The time series data are based on the Korean International Financial Reporting Standards (K-IFRS) and comprise seaborne trade volume, fleet evolution, and macroeconomic indicators. The outliers representing the economic downturn due to social events were separately analyzed. As a result of the analysis, the China Container Freight Index (CCFI) positively impacted ocean-going as well as short-sea liner shipping companies. However, the Korean container shipping volume only impacted ocean-going liners positively. Additionally, world and Korea's GDP, world seaborne trade volume, and fuel price are factored in the operating profit of short sea liner shipping. Also, the GDP growth rate of China, exchange rate, and interest rate did not significantly impact both groups. Notably, the operating profitability of Korea's liner shipping shows an exceptionally high rate during the recessions of 1998 and 2020. It is paradoxical, and not correlated with the classical economic indicators. Unlike other studies, this paper focused on the operating profit before financial expenses, considering the complexity as well as difficulty in forecasting the shipping cycle, and rendered conclusions using relatively long-term empirical analysis, including three economic shocks.

• Journal of the Korean Society of Marine Environment & Safety
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• v.14 no.3
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• pp.235-240
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• 2008

In case of EU and USA, a short sea shipping and coastal shipping which are safer and environmentally better than road transportation are used widely. But a share of freight transport by a coastal transportation is extremely poor in South Korea. In this paper, we propose a Mokpo-Jeju intermodal transportation based on logistics analysis results. Firstly, we investigate a freight and passenger of a Mokpo-Jeju shipping route. And secondly, the intermodal transportations such as sea-train, sea-road, RORO ship system are investigated. Finally, we propose a coastal transportation system utilizing RORO ship system for Mokpo-Jeju shipping route and identify a technical feasibility of a coastal transportation system.

• Journal of Navigation and Port Research
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• v.46 no.4
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• pp.351-358
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• 2022

This study analyzed changes in the market concentration of Korean ocean-going shipping companies using shipping revenue based CR (Concentration Ratio), and HHI (Herfindahl - Hirschman Index) to examine the effects of the government's selection and concentration based the shipping reconstruction scheme. The results of this study showed that the market structure of the Korean shipping industry has changed from a competitive market to a rather concentrated market, as CR as well as HHI values have increased from 2019 to 2021. In particular, the market share of the deep-sea shipping lines has risen significantly compared to the intra-Asian short-sea shipping lines and the tramp carriers, implying that the Korean liner shipping market has become a monopoly, or highly concentrated oligopoly market. Compared to other shipping markets, the high rise in ocean freight rates (i.e. Asia-Europe America) was the leading cause of the increase in the revenues of the ocean-going shipping lines, and the increased fleet through preemptive government support has enabled them to achieve more revenues. As a result, it can be interpreted that the government's fleet expansion strategy has been more effective than expected, but it is too early to conclude if the market structure of the Korean ocean-going shipping companies has been strengthened.

• Journal of Navigation and Port Research
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• v.34 no.7
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• pp.587-594
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• 2010

The positive and negative opinion to cargo demand of Incheon's SAMT in the near future remains cloudy. Considering port and shipping environmental changes and the logistics situation of China which explains the lack of facilities in Chinese airports, the creating of SAMT cargoes of the Incheon region could catches a favorable opportunity to be a logistics hub in the North-East Asia. On the other hand, as open-sky policy and direct-call service has been carried out between China and N.A.(North America), Incheon could cause a loss of competitiveness in SAMT because the enhancement in the aspect of the connectivity of Chinese airlines and shipping lines makes customer sent to last destination their cargoes whenever they want. In the same context, this paper analyses on conditions of domestic and international SAMT and proposes in this uncertainty future forecasting of SAMT of Incheon by scenario planning according to changes in integrated SAMT, measuring the likelihood of final scenario. This study shows the Sea & Air multi-transport volume will have either slight increase or decrease from the current condition. Consequently, RFS expansion and system & service improvement through strong ties with major cities in China will be required in a short run aspect. Nonetheless, we also need to take domestic & international transportation environment into account in the long run.

• Korean Journal of Remote Sensing
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• v.38 no.6_1
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• pp.1047-1056
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• 2022

Sea ice, frozen sea water, in the Artic is a primary indicator of global warming. Due to its importance to the climate system, shipping-route navigation, and fisheries, Arctic sea ice prediction has gained increased attention in various disciplines. Recent advances in artificial intelligence (AI), motivated by a desire to develop more autonomous and efficient future predictions, have led to the development of new sea ice prediction models as alternatives to conventional numerical and statistical prediction models. This study aims to evaluate the performance of the two-stream convolutional long-and short-term memory (TS-ConvLSTM) AI model, which is designed for learning both global and local characteristics of the Arctic sea ice changes, for the minimum September Arctic sea ice from 2001 to 2021, and to show the possibility for an operational prediction system. Although the TS-ConvLSTM model generally increased the prediction performance as training data increased, predictability for the marginal ice zone, 5-50% concentration, showed a negative trend due to increasing first-year sea ice and warming. Additionally, a comparison of sea ice extent predicted by the TS-ConvLSTM with the median Sea Ice Outlooks (SIOs) submitted to the Sea Ice Prediction Network has been carried out. Unlike the TS-ConvLSTM, the median SIOs did not show notable improvements as time passed (i.e., the amount of training data increased). Although the TS-ConvLSTM model has shown the potential for the operational sea ice prediction system, learning more spatio-temporal patterns in the difficult-to-predict natural environment for the robust prediction system should be considered in future work.

• Journal of the Korean Institute of Navigation
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• v.4 no.2
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• pp.45-79
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• 1980

The aim of this paper is to analyze the mechanics of price formation in the tramp shipping. For the purpose of this study, the main characteristics of tramp freight rates and the market is examined, and a brief examination of the nature ofthe costs of operation is given which are essential for the understanding of the functioning of shipping firms as well as for the understanding of developments in the tramp freight market. The demand and supply relationships in the market is also analysed in detail. Tramp shipping is an industry that has a market which functions under conditions that are not dissimilar to the theoretical model of perfect competition. However, it does notmean that tramp shipping market is a perfectly competitive market. It is apparent that this realworld competitive system has its imperfections, which means that the market for tramp shipping is near to being a perfectly competitive market on an internaitonal scale and it is freight are therefore subjext to the laws of supply and demand. In theory, the minimum freight rate in the short term is that at which the lowest cost vessels will lay-up in preference to operating, and is equal to the variable costs minus lay-up costs; and this would imply that in all times except those of full employment for ships there is a tendency for newer low-cost, and, probably, faster vessels to be driving the older high-cost vessels in the breaker's yards. In this case, shipowners may be reluctant to lay-up their ships becasue of obligations to crews, or because they would lose credibility with shippers or financiers, or simply because of lost prestige. Mainly, however, the decision is made on strictly economic grounds. When, for example, the total operating costs minus the likely freight earnings are greater than the cost of taking the ship out of service, maintaining it, and recommissioning it, then a ship may be considered for laying-up; shipowners will, in other words, run the ships at freight earnings below operating costs by as much as the cost of laying them up. As described above, the freight rates fixed on the tramp shipping market are subject to the laws of supply and demand. In other words, the basic properties of supply and demand are of significance so far as price or rate fluctuations in the tramp freight market are concerned. In connection with the same of the demand for tramp shipping services, the following points should be brone in mind: (a) That the magnitude of demand for sea transport of dry cargoes in general and for tramp shipping services in particular is increasing in the long run. (b) That owning to external factors, the demand for tramp shipping services is capable of varying sharphy at a given going of time. (c) The demad for the industry's services tends to be price inelastic in the short run. On the other hand the demand for the services offered by the individual shipping firm tends as a rule to be infinitely price elastic. In the meantime, the properties of the supply of the tramp shipping facilities are that it cannot expand or contract in the short run. Also, that in the long run there is a time-lag between entrepreneurs' decision to expand their fleets and the actual time of delivery of the new vessels. Thus, supply is inelastic and not capable of responding to demand and price changes at a given period of time. In conclusion, it can be safely stated that short-run changes in freight rates are a direct result of variations in the magnitude of demand for tramp shipping facilities, whilest the average level of freight rates is brought down to relatively low levels over prolonged periods of time.

• Proceedings of the Korean Institute of Navigation and Port Research Conference
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• v.1
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• pp.283-291
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• 2006

Recently, a logistics between south and north Korea is rising rapidly by increasing of economical exchange between two Korea and growth of Gaeseoung Industrial Complex. Considering this trend of economic cooperation between two Korea, in addition to a land transportation route it is necessary to secure various logistics and transportation route. A barge transport system which has merits such as a little initial investment and convenience of harbor loading/unloading has been also used to transport freight widely in the EU and USA. In this paper, firstly, a social and economical feasibility study is performed about a shipping route which is using barge transportation system between Incheon and Gaesung. And also we propose several candidate shipping route and investigate a technical feasibility on a realistic possibility of shipping service by some investigation activities. Finally, the optimized shipping route and barge transportation system are proposed in this paper.

• The Journal of Korean Institute of Communications and Information Sciences
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• v.9 no.4
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• pp.141-152
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• 1984

Nowadaty, To keep pace with the mass transportation carried out by vessels in the international trade, the Korean government is trying to make a rapid progress to be a higher ranked shipping country to the world through the shipping increase. For the effective management of international trade by vessels and the safe operation of vessels, it is indispensable for ships radio communication to be effective and smooth. Therefore, to enhance the efficiency of ships radio communication is one of the primary factors to be solved for the econimics of shipping management. The reserch area is not only limited to the ships radio communication on the North Pacific Ocean but limited to the ships radio communication which is one of the chiefest methods of communications. From the research for the efficient methods of ships radio communication, the following results are obtained. (1) The operator on ships radio communication should have the knowledge of specific know-how and wide experience in the operation of ships radio communications. (2) The operator should abopt the radio propagation prediction made by the Ministry of Communications to use the best ionosphere reflection in the short wave communications. (3) The increase the radio officer of 1 to 2 in order to contrive the safety at sea and to keep the ships radio communication fare low. (4) The owner should pay their attentions to the education and employment of radio officer. (5) The authorities concerned on the ships radio communication should estabilish the effective and consistent policy for the ships radio officers.

• Journal of Navigation and Port Research
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• v.32 no.5
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• pp.387-394
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• 2008

The cost of domestic container transportation is higher than international sea transportation and it cannot meet the needs of customers either. However, domestic carriers try hardly nothing to improve the carriage system. Especially, the inland transportation connecting Busan port is not receiving a careful study in spite of the importance and urgency now. This paper reviews intention of forwarders, shipping companies, and transport companies conducting a questionnaire and analyse the preferences of transportation modes amongst existing highway, railway, coastal shipping and inland waterway. Its aim is to analyse which factors affect freight agents to choose particular mode.

• Journal of Navigation and Port Research
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• v.31 no.1 s.117
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• pp.7-14
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• 2007

Recently, freight floe between south and north Korea is rising rapidly by increasing cf economical exchange between two Korea and growth of Gaeseoung Industrial Complex. Considering this trend of economic cooperation between two Korea, in addition to a land transportation route it is necessary to secure various logistics and transportation route. A barge transport system which has many merits such as a little initial investment and convenience of harbor loading/unloading has been also used to transport freight widely in the EU and USA. In this paper, firstly, a Gaeseoung industrial complex and its cargo transport are investigated and several candidate shipping routes which are using barge transportation system are proposed. And also we investigate a technical feasibility on a realistic possibility of shipping routes by some investigation activities. Finally, a suitable barge system of candidate shipping route(1) and(2) is proposed in this paper.