Daegu City Invests 4.4 Billion KRW in Water Industry Cluster 'Daehan Environment' MOU ... Headquarters Relocation to Gimhae

Aerial view of the Water Industry Cluster in Daegu National Industrial Complex, Guji-myeon, Dalseong-gun, Daegu.

[Asia Economy Yeongnam Reporting Headquarters Reporter Park Dong-wook] Daegu City announced on the 26th that it will hold an investment agreement signing ceremony on the 27th at 2 p.m. at City Hall with Daehan Environment, a leading domestic water industry small and medium-sized enterprise in the seawater desalination sector, for moving into the National Water Industry Cluster.

Daehan Environment, headquartered in Gimhae, Gyeongnam, is a water company with 14 employees and an annual sales revenue of 2.2 billion KRW, possessing excellent technology in manufacturing water treatment devices.

In particular, it has been certified for its outstanding technology in manufacturing seawater desalination devices and exports its products to overseas markets. Daegu City introduced it as a promising small and medium-sized enterprise expected to achieve unlimited growth in the seawater desalination market and wastewater reuse sector by enhancing its corporate brand value through moving into the National Water Industry Cluster.

Daehan Environment plans to invest 4.4 billion KRW to build a seawater desalination and pure water device manufacturing plant on a 5,018㎡ site in the National Water Industry Cluster and relocate its headquarters to Daegu. The factory construction will begin in February 2021 and be completed in the second half of the year, creating about 20 jobs for young people.

Daegu City expects that Daehan Environment's move into the National Water Industry Cluster will create synergy effects for overseas market expansion by forming a value chain with the existing EPC company (Samsung Engineering) already located there.

With the attraction of Daehan Environment, the National Water Industry Cluster has so far attracted 36 water companies, showing a sales rate of about 63% based on the site area (300,000㎡ out of 481,000㎡). Currently, 13 companies have completed construction, and 3 companies are under construction.

Hong Eui-rak, Deputy Mayor for Economic Affairs of Daegu City, said, "Daehan Environment, investing this time, is a leading domestic company in the seawater desalination water market. Daegu City will actively support its rapid growth into a global company through the National Water Industry Cluster and the Water Technology Certification Center."