Jeonnam Province Establishes Parts Production Base to Support Local Companies' Entry into Southeast Asian Markets

Selected for the 'e-Mobility Export Promotion Joint Production-Based Enterprise Support' Project

Jeonnam Province will establish a parts production base to support local companies' entry into the Southeast Asian market.

On the 24th, the province announced that it had been selected for the Ministry of Trade, Industry and Energy's 'e-Mobility Export Activation Joint Production Base Enterprise Support' project.

A panoramic view of Yeonggwang Daema Industrial Complex. [Photo provided by Jeonnam Province]

Accordingly, a total project cost of 4 billion KRW, including national funds, will be invested in the Yeonggwang Daema Industrial Complex to establish medium-to-large scale facility equipment to support processing of automotive interior and exterior materials and frame parts, including ▲universal welding jigs ▲robot welding machines ▲flat-type laser processing machines ▲bending machines.

Jeonnam Province, which was selected in 2021 for the 'Ultra-small e-Mobility Parts Pilot Production Support Base Construction Project' and established a parts production system for small and medium enterprises, plans to further expand mobility sector infrastructure through this public offering project and actively support local companies in parts localization and production cost reduction.

Recently, the Ministry of Trade, Industry and Energy announced measures to strengthen the overseas competitiveness of small e-mobility after holding the 4th public-private joint export expansion policy meeting to focus on fostering small e-mobility and preoccupy the rapidly growing Southeast Asian e-mobility new market.

The Korea Smart e-Mobility Association also expects domestic small e-mobility companies to achieve export results of 50 million USD and over 40,000 units in 2024.

Accordingly, Jeonnam Province is promoting various policies to support local companies' entry into the Southeast Asian market, including ▲dispatching the 2024 Mobility Overseas Market Development Team ▲attracting the e-Mobility Global Innovation Special Zone ▲official development assistance (ODA) projects centered on local companies.

Soyoungho, Director of Strategic Industry Bureau of Jeonnam Province, said, “We have established shared production equipment essential for e-mobility parts production,” adding, “We will actively support laying a foothold for local companies’ overseas expansion, including parts localization and production cost reduction.”