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Hyundai Mipo Dockyard Co. has obtained approval for its ammonia-propelled ships from Lloyd's Register, a British quality assurance and risk management company.
Ammonia does not emit carbon dioxide when burned, making it an eco-friendly alternative fuel for ships.
Hyundai Mipo Dockyard hopes to commercialize the ammonia-propelled ships by 2025.
The International Maritime Organization (IMO) enforced regulations for carriers designed to cut carbon dioxide emissions by over 30 percent by 2025 from 2008.
The IMO may increase the emission reduction levels by 40 percent by 2030 and 70 percent by 2050.
The IMO also lowered the sulfur cap on fuel content from 3.5 percent to 0.5 percent in January.
KIn March, Korea Shipbuilding and Hyundai Heavy established a center in Ulsan to develop ships powered by both fuel cells and liquefied natural engines by 2021.
