Both Domestically, Internationally
Hyosung Advanced Materials has decided to establish a new subsidiary, Hyosung Vina Core Materials Co., Ltd., in Ba Ria-Vung Tau Province, southern Vietnam, to expand carbon fiber production.
To enhance the global competitiveness of carbon fiber, Hyosung Advanced Materials plans to expand its production facilities not only in Korea but also in China and Vietnam. For the establishment of the new Vietnamese corporation, 533 billion won (US$402 million) has been invested and completion is expected in the first half of 2025.
The investment aims to actively respond to the increasing global demand for carbon fiber. Global carbon fiber demand is expected to grow annually by 17%, from 150,000 tons last year to 240,000 tons by 2025. Demand for new aircraft such as Urban Air Mobility (UAM) is on the rise. Additionally, the demand in various fields such as CNG and hydrogen high-pressure vessels and wind turbine blades is also predicted to grow.
Meanwhile, Hyosung Advanced Materials is investing 528 billion won in its Jeonju factory to expand its carbon fiber production line by the end of July next year. The expansion aims to cater to the increasing demand due to domestic and international eco-friendly policies such as hydrogen vehicle fuel tanks, compressed natural gas (CNG) high-pressure vessels, and solar energy materials.
In 2019, Hyosung Advanced Materials announced plans to invest 1 trillion won by 2028 to expand the Jeonju factory’s carbon fiber production line to 24,000 tons annually and aims to enter the global top 3 in the carbon fiber sector.