Miryang City - AKGM ... Signed Investment Agreement Worth 18.6 Billion KRW

Establishment of Daemi Agricultural and Industrial Complex and Magnesium Alloy Production Plant
Confirmed 40% Foreign Investment in Korea-US Joint Venture

Miryang City in Gyeongnam signed an investment agreement worth 18.6 billion KRW with AKGM at the city hall's small conference room to establish a magnesium alloy ingot production and recycling plant in the Daemi Industrial Complex of Samrangjin-eup.

According to the agreement made on the 8th, the city will provide administrative and financial support within the scope prescribed by law to ensure smooth investment, and AKGM plans to build a 4,630㎡ factory on a 6,955㎡ site with 40% foreign capital support, hire about 30 new workers, and start operations by the end of next year.

Miryang City - AKGM Investment Agreement Signed.
[Image provided by Miryang City]

The products to be produced by AKGM are high-performance magnesium alloy products that will be entirely exported to major North American automobile companies such as Ford, GM, and Stellantis, as well as leading multinational material component companies, and will be used as key raw materials for lightweight component production.

Co-CEO Hyun Seok-jeong said, “We appreciate Miryang City's active support and efforts to attract investment,” adding, “We will contribute to revitalizing the local economy by increasing production and expanding export opportunities through foreign capital attraction.”

Co-CEO John Michael Haack said, “We are very pleased to establish a new Korea-US joint venture company in Miryang,” and added, “Miryang has excellent accessibility to Busan Port and Busan New Port via highways and National Route 58, which is expected to greatly help reduce logistics costs.”

Heo Dong-sik, Acting Mayor of Miryang, said, “We thank AKGM for deciding to invest,” and added, “We will spare no administrative and financial support to strengthen competitiveness in overseas markets and to become a global leading company.”

Meanwhile, magnesium is known as the lightest practical metal with high specific strength, making it the most suitable material for lightweighting. Recently, with the rapid growth of electric vehicles and the aerospace sector, the application of magnesium materials in vehicles, batteries, and aerospace fields is continuously increasing.

Additionally, magnesium alloys have excellent recyclability and emit less carbon during production compared to other metals, attracting growing interest from global companies aiming for decarbonization and ESG management.