Hyosung has planned to invest $825 million by the year 2028 in its business of carbon fibers to expand its production capacity from the current 2,000 tonnes per year (one line) to 24,000 tonnes per year (10 lines). The investment will gain the reputation of becoming the world’s single-largest carbon fiber factory.
The expansion work has already started and the first round will add 2,000 tonnes per year of capacity by January 2020, laying the way for the next round to commence from February 2020.
If the installing of 10 more lines gets successful by 2028, the ranking of Hyosung in terms of global market share will rise from 11th (2 percent) as of 2019 to third (10 percent). This will increase the employment massively from 400 employees currently to more than 2,300 new jobs by 2028.
For the installation and extension of production facilities and investment support, Hyosung has signed an investment agreement with South Jeolla Province and Jeonju City.
Hyosung also concluded an “alliance MOU” with the Ministry of Trade, Industry and Energy and two other carbon fiber companies – Iljin Composites Co. and KAI – to strengthen cooperation through joint tests.
“We took notice of the future value of carbon fiber and decided to develop our own technology,” Hyusung Chairman Hyun-Joon Cho said in a signing ceremony for the agreements. “We will play a major role in turning Korea into ‘a materials powerhouse’ through further development of carbon fiber because possibilities of its downstream industries are endless and the material has opened new markets in the hydrogen economy.”
“We have been world number one in many fields including spandex and tire cords because we have stubbornly developed our own technologies all the way from materials to production processes to surpass our rivals,” Cho said. “We will keep exploring new fields to sow the seeds of other materials businesses.”
Source: Plastics Today