Kumho Tire, South Jeolla Province, and Hampyeong County Sign Investment Agreement for New Plant Construction

Completion in Bitgreen Industrial Complex Targeted for 2027, Operations to Begin in 2028
Expected to Play a Key Role in Strengthening Mid- to Long-Term Global Competitiveness

Kumho Tire has overcome the pain of the fire accident in May and has opened a new chapter with the Hampyeong New Plant.

Participants are taking a commemorative photo at the Kumho Tire Hampyeong New Plant Investment Agreement Ceremony. Photo by Kumho Tire

The company plans to build a plant with an annual production capacity of 5.3 million tires by 2027 and to begin full-scale operations in 2028.

Kumho Tire announced on December 10 that it had signed an investment agreement with South Jeolla Province and Hampyeong County on December 9 for the construction of the Hampyeong New Plant.

The signing ceremony, held at the South Jeolla Provincial Government building that afternoon, was attended by Governor Kim Yungrok, Hampyeong County Mayor Lee Sangik, Kumho Tire CEO Jung Iltaek, Head of Management Planning Lim Wanju, and other officials.

According to the agreement, South Jeolla Province and Hampyeong County will do their utmost to provide administrative support for Kumho Tire's successful investment.

Governor Kim stated, "The Kumho Tire Hampyeong New Plant will become a production base for core components of future vehicles, leading the innovation of manufacturing in South Jeolla Province. We will spare no effort to provide comprehensive support for the company's successful settlement and growth."

Mayor Lee said, "We will provide full support, including assistance with permits and improvements to working and living conditions, to ensure the Hampyeong New Plant is completed and operates without delay. By maintaining close communication with Kumho Tire, we will create a win-win model where both the company and the region grow together."

Kumho Tire CEO Jung Iltaek commented, "The construction of the Hampyeong New Plant is a strategic investment chosen by Kumho Tire to lead the future mobility market and marks an important turning point in advancing our global competitiveness. Going forward, Kumho Tire will continue to contribute to job creation and revitalization of the local economy centered around the Hampyeong New Plant, and will further strengthen our value as a 'trusted and chosen brand.'"

Meanwhile, since the fire at the Gwangju plant on May 17, Kumho Tire has been working to resolve the situation internally and has proactively compensated local residents for damages. In addition, with sincere support from the local community, civic groups, and public-private cooperation, the company is steadily overcoming the unprecedented risks caused by the accident.

The first phase of the Hampyeong New Plant construction involves an investment of 660.9 billion won. The plant will have an annual production capacity of 5.3 million tires and will secure the capability to produce 7 million units of refined rubber annually to support this. Through the transition to a next-generation production system, the plant will be equipped with smart manufacturing facilities and eco-friendly processes.

It is expected to play a key role not only in advancing manufacturing capabilities by enhancing production efficiency and quality competitiveness, but also in establishing a foundation for sustainable growth, thereby strengthening Kumho Tire's mid- to long-term global competitiveness.

Furthermore, it is anticipated to make a substantial contribution to revitalizing the local economy and creating jobs.

Hampyeong County also expects that, through the eco-friendly anchor company Kumho Tire's Hampyeong Plant, the Bitgreen Industrial Complex located in Hampyeong will emerge as the center of the ultra-wide-area K-Mobility sector.

As Gwangju's specialized industrial complex for future vehicle components expands into the Hampyeong area of the Bitgreen Industrial Complex, the region is envisioning a "Jeonnam-style green digital city" that encompasses the positive ripple effects for the area, RE100 industrial parks, jobs, and residential life.

In addition to Kumho Tire, the establishment of a "residential, educational, and cultural complex district" for employees and families of future vehicle parts and data center companies is expected to further revitalize the local economy.

Alongside the construction of the Hampyeong New Plant, Kumho Tire is also pursuing the establishment of a local production base in Europe, which is its most strategically significant core market.

On December 1, the company finalized the site for its new European plant in Opole, Poland. After obtaining investment approval and permits, the plant is scheduled to begin its first operations in August 2028 with an annual production capacity of 6 million tires.