Expanding the Superfiber 'Aramid Industry' in Gumi... Kolon Industries, First Generation of Gumi Industrial Complex, Invests in Expansion

'Kolon' to Invest 230 Billion Won and Hire 100 Employees in 2023

Gyeongbuk Province and Gumi City Gain Momentum in Attracting Advanced New Material Projects

Gyeongsangbuk-do, Gumi City, and Kolon Industries signed a memorandum of understanding on the 24th for the expansion of the aramid factory at the Gumi plant.

[Asia Economy Yeongnam Reporting Headquarters Reporter Kim Yong-woo] An aramid manufacturing plant, known as the "super fiber," will be expanded in Gumi City, Gyeongbuk Province. With an investment of approximately 230 billion KRW, the project is expected to create 100 jobs, putting Gumi in a festive mood.

Gumi City signed a Memorandum of Understanding (MOU) for the aramid manufacturing plant expansion investment with Kolon Industries on the 24th.

At the signing ceremony held at Gumi City Hall, Gyeongbuk Governor Lee Cheol-woo, Gumi Mayor Jang Se-yong, Kolon Industries CEO Jang Hee-gu, the chairman of the Kolon Industries labor union, the city council chairman, provincial assembly members, and city council members attended.

Kolon Industries will invest 230 billion KRW in the Gumi plant by 2023 to expand the aramid production line.

Kolon Industries is a leading company in domestic industrial materials, films, electronic materials, and the fashion sector.

It originated from Kolon, the first-generation company in the Gumi industrial complex, which produced nylon for the first time in Korea in 1957. In 2010, Kolon Group transitioned to a holding company and spun off the manufacturing business division of Kolon.

Despite the global economic crisis caused by COVID-19, the company achieved sales of 4.03 trillion KRW and an operating profit of 152.4 billion KRW in 2020.

Aramid, called the "super fiber," is used in 5th generation (5G) communication optical cables and ultra-high-performance tire materials for electric vehicles, and it is the next-generation core product driving Kolon Industries' growth.

Through this aramid expansion investment, production is planned to increase from the current 7,500 tons per year to 15,000 tons by 2023, doubling the capacity, aiming to solidify its top-tier position in the global aramid market.

Gumi Mayor Jang Se-yong said, "We thank Kolon Industries for deciding to invest in Gumi despite the difficult business environment caused by COVID-19, and we are even happier that the first-generation company of the Gumi industrial complex has decided to reinvest in Gumi," adding, "We will provide wholehearted support to help them become the global number one in the aramid field."