Press Release Energy & Ocean Solutions

Hanwha Engine produces the world’s first VCR-applied engine for LNG carriers

September 2, 2025

Methane slip reduced by up to 50%, a milestone for the shipbuilding industry’s decarbonization transition

Representatives pose for photo at joint ceremony for Hanwha Engine and WinGD

Key figures from the shipbuilding and shipping industries pose for a photo at a joint ceremony

Hanwha Engine, a marine engine manufacturer led by CEO Moon Ghee Ryu, has successfully produced the world’s first next-generation eco-friendly dual-fuel X-DF engine equipped with variable compression ratio (VCR) technology for LNG carriers, capable of using both LNG and diesel fuel and engineered with WinGD's low-emissions engine technology. This development is set to accelerate the decarbonization transition in the shipbuilding industry.

 

Hanwha Engine held a joint ceremony together with engine designer WinGD on August 29 at its headquarters in Changwon, South Korea, to commemorate the world’s first VCR-applied X-DF engine for LNG carriers and to officially announce the first shipment of the 5X72DF-2.2 engine with VCR technology. The newest version of WinGD’s X-DF dual-fuel technology, adapted for LNG carriers, builds on over a decade of proven, reliable operations.

 

VCR represents a next-generation, green innovation that optimizes fuel efficiency and reduces carbon dioxide emissions by adjusting the engine compression ratio in real time according to operating conditions. Notably, it has the potential to reduce methane slip (methane emissions from incomplete combustion of LNG) by 30% to 50% compared to existing systems, drawing strong interest from the global shipping industry, where cutting greenhouse gas emissions is a top priority.

 

Hanwha Engine has already secured orders for 70 units of the VCR-applied engine, worth $500 million, demonstrating strong demand for next-generation technology. This achievement further solidifies Hanwha Engine’s leading position in low emissions engine technology, following its world-first commercialization of dual-fuel engines in 2013. 

 

“The world’s first production of VCR-applied engines for LNG carriers is not merely a technical achievement but a milestone accelerating the shipbuilding industry’s transition toward environmental sustainability,” remarked Ryu. “Moving forward, Hanwha Engine will continue to lead the industry by leveraging clean energy technologies to shape the future and make tangible contributions to marine environmental protection.” 

 

 

Hanwha Group 

 

Hanwha is South Korea’s seventh-largest business group, with innovative businesses in the areas of aerospace & mechatronics, clean energy & ocean solutions, finance, and retail & services. We are a multinational company with a robust global network of affiliates, which allows us to leverage synergy to deliver transformative solutions and impactful innovations that catalyze sustainable growth across industries and communities. With strong fundamentals in core industries, we enhance lives through our technologies, products, and services. 

 

For more information, visit: www.hanwha.com 

 

Hanwha Engine 

 

Established in 1983 and integrated into Hanwha Group in 2024, Hanwha Engine is a leading provider of ecofriendly marine engine solutions. The company pioneered the commercialization of the world’s first dual fuel low-speed engine and developed the first low-temperature selective catalytic reduction (SCR) system. Hanwha Engine produces high-efficiency, sustainable engines, including low-emission methanol and ammonia propulsion systems, and offers comprehensive lifecycle management through long-term service agreements and aftermarket support, ensuring safe and efficient vessel operations. As part of Hanwha Group, Hanwha Engine plays a key role in driving maritime decarbonization and delivering cutting-edge solutions to the global shipping industry.

 

For more information, visit: www.hanwha-engine.com