Lotte Shopping to Invest 200 Billion KRW in Logistics Center
Creating Around 1,000 Local Jobs
Goyang Special City in Gyeonggi Province (Mayor Lee Donghwan) and Lotte Shopping announced on the 25th that they had signed a "Business Agreement (MOU) for AI-Based Regional Coexistence and Smart Distribution Ecosystem Creation" at the Open Mayor's Office of Goyang City Hall on the 24th.
Lee Donghwan, Mayor of Goyang Special City (right), and Kang Seonghyun, CEO of Lotte Shopping, signed a "Business Agreement for AI-Based Regional Coexistence and Smart Distribution Ecosystem Creation" on the 24th at the Open Mayor's Office of Goyang City Hall. Provided by Goyang Special City
The signing ceremony was attended by Lee Donghwan, Mayor of Goyang Special City, Kang Seonghyun, CEO of Lotte Shopping, and related executives and employees from Lotte, who discussed future cooperation plans.
With this agreement, the city and Lotte Shopping plan to pursue sustainable joint cooperation in a variety of fields, including: creating local jobs by giving hiring priority to Goyang citizens; demonstrating Fourth Industrial Revolution technologies such as AI and robotic logistics; and providing AI logistics technology experience and educational programs for youth and young adults.
Lotte Shopping plans to invest 200 billion KRW to build a new logistics center on approximately 40,000 square meters in the Sarihyun-dong area of Ilsandong-gu, Goyang City, targeting the second half of 2027 for operation. The company expects to newly hire about 1,000 workers for roles such as production management, on-site operations, and delivery drivers.
The logistics center in the city will be an AI-based, automated logistics center dedicated to online groceries. Through its synergy with Ilsan Techno Valley and Broadcasting and Video Valley, it is expected to help create the largest "future-oriented distribution city" ecosystem in the Seoul metropolitan area.
In particular, Lotte Shopping plans to establish Goyang CFC as a flagship hub for smart logistics based on electric vehicles powered by solar energy. All products shipped from Goyang CFC will be delivered to customers via electric vehicles (EVs), as part of the company's commitment to reducing carbon emissions throughout the entire distribution process.
Lotte Shopping signed a partnership agreement with British online supermarket company Ocado in 2022 and plans to introduce a smart logistics platform that combines robotics and artificial intelligence (AI).
This platform is an innovative system that automates the entire purchasing process, from real-time consumer demand forecasting to product packaging, delivery, and dispatch. The company plans to apply this technology in Goyang City to further advance every stage of the distribution process.
Additionally, Lotte Shopping plans to invest a total of 1 trillion KRW in logistics infrastructure by 2031. By selecting Goyang City as the site for its second AI-automated logistics center after Busan, Goyang has established itself as a key smart logistics hub city in the Seoul metropolitan area.
Lee Donghwan, Mayor of Goyang Special City, stated, "This agreement marks the starting point for a nationwide coexistence model in which cities and companies grow together." He added, "Through this agreement, Goyang Special City is expected to lead carbon neutrality and green growth, making a significant contribution to the transition to an eco-friendly city." He further emphasized, "The city will spare no policy support to help Lotte become a leading global company."
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