[Asia Economy Reporter Hyungsoo Park] Industrial special valve company Jogwang ILI is continuously expanding its high value-added products such as safety valves for nuclear power plants and cryogenic valves for liquefied natural gas (LNG) carriers. The company plans to secure growth momentum by maximizing sales and profitability through the development of high value-added products and securing competitiveness in orders.
Jogwang ILI announced on the 18th that it will foster high value-added products such as safety valves used in various industries and continuously increase their proportion through continuous research and development (R&D) investment.
Jogwang ILI has entered the small modular reactor (SMR) business, which is expected to be a high value-added business, and is working to secure technological capabilities. In June last year, Jogwang ILI was invited to participate in the localization development of SMR safety relief valves (POSRV) by Korea Hydro & Nuclear Power and the Korea Institute of Machinery and Materials. The final selection results will be announced within the first half of this year.
Jogwang ILI succeeded in localizing large safety relief valves (SRV) for nuclear power plants in 2020, competing with overseas companies in the nuclear power safety valve market, which is monopolized by a few companies worldwide due to the difficulty of manufacturing processes.
Jogwang ILI has also completed the development of manual valves such as cryogenic ball, butterfly, and check valves, which are high value-added products, and plans to launch them within this year. The company plans to establish a second factory on a site of 24,164㎡ at its headquarters in Sanmak Industrial Complex, Yangsan, Gyeongnam, to produce cryogenic valves.
The ball valve market is currently more than four times larger than the safety valve market and is expected to expand due to increased demand for LNG carriers and increased valve demand from the medical and pharmaceutical industries caused by COVID-19.
Jogwang ILI also succeeded in commercializing safety valves for LNG carriers, considered high value-added products, in 2020 and is actively working to expand orders.
Industry insiders expect that Jogwang ILI will secure growth momentum based on government support for localization of parts, absence of domestic competitors, and high price competitiveness compared to overseas competitors.
A Jogwang ILI official said, "We will actively respond to the valve market environment through continuous in-house technology development," adding, "We will strengthen business competitiveness by improving our portfolio with high-margin products to maximize sales and profitability."
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