HD Hyundai Electric to Invest 117.3 Billion KRW to Establish Power Distribution Equipment Factory in Cheongju

Chungbuk Province and Cheongju City Sign Investment Agreement for Distribution Equipment
Responding to Demand Increase... Completion by October 2025
Doubling Medium and Low Voltage Circuit Breaker Production Capacity by 2030

HD Hyundai Electric is planning to build a new factory in Cheongju, Chungbuk.

On the 19th, HD Hyundai Electric announced that it signed an investment agreement with Chungcheongbuk-do and Cheongju City to establish a medium- and low-voltage circuit breaker factory.

HD Hyundai Electric will invest 117.3 billion KRW by October 2025 to build a new medium- and low-voltage circuit breaker manufacturing plant on an 85,420㎡ (approximately 25,000 pyeong) site within the Cheongju Central Valley General Industrial Complex. Chungcheongbuk-do and Cheongju City will provide administrative and financial support to ensure the planned investment project proceeds smoothly during the factory construction period.

HD Hyundai Electric expects that this large-scale investment will strengthen its global competitiveness and contribute to revitalizing the local economy through job creation and other means.

The new factory will be a smart factory equipped with the latest automated facilities, with a production capacity of about 13 million units by 2030. HD Hyundai Electric’s production capacity is expected to approximately double from the current level.

HD Hyundai Electric Ulsan Plant Overview [Photo by HD Hyundai Electric]

HD Hyundai Electric plans to actively respond to the increasing demand for distribution equipment through the establishment of the factory. Distribution equipment is a facility that distributes and supplies electricity transmitted from power plants to demand sites. Recently, demand has been increasing due to global power infrastructure investments and the expansion of renewable energy generation.

At the signing ceremony, Cho Seok, President of HD Hyundai Electric, said, "The distribution equipment market is rapidly growing in the era of decarbonization and energy transition. Through this investment, we will not only efficiently respond to the changing market but also lay the foundation for future growth."

Kim Young-hwan, Governor of Chungbuk Province, said, "We are very pleased to attract HD Hyundai Electric, which has global competitiveness, to Chungcheongbuk-do. We will continue to make every effort to foster technology-intensive industries and attract advanced companies, which are the future growth engines of Chungbuk."

HD Hyundai Electric is also planning to expand its power equipment factories. It will invest 27.2 billion KRW and 18 billion KRW respectively in transformer factories located in Ulsan and Alabama, USA, to increase production capacity by about 20%. HD Hyundai Electric expects this to result in an increase in sales of approximately 220 billion KRW.