Changwon Special City has signed an investment agreement with Kangrim Heavy Industries Co., Ltd. for 86 billion won. The company plans to expand its production capacity by securing a separate production site within the Changwon National Industrial Complex while maintaining its existing plant.
On the morning of October 12, at 10 a.m., the city announced that it had signed a memorandum of understanding (MOU) with Kangrim Heavy Industries for the investment and the creation of 150 new jobs. The signing ceremony was attended by Changwon Mayor Kang Ki-yoon and Kangrim Heavy Industries Vice President Shin Han-seong.
This investment aims to increase production capacity for ship boilers and other products in response to rising order volumes and to establish a foundation for mass production of newly developed products.
According to further reports, Kangrim Heavy Industries is currently in the final stages of negotiations to acquire the land for the new production facility and plans to secure the site as soon as the contract is finalized.
A city official stated, "Preliminary discussions regarding the land have been completed, and once the MOU is signed, we expect to proceed with the acquisition process."
The investment will not involve relocating or consolidating the existing Changwon plant but will instead add production facilities on a separate site while continuing operations at the current plant.
The city anticipates that production will begin within the year after the land acquisition, with plans for additional production facility expansions also under consideration.
The hiring plan will be implemented in phases. The investment period outlined in the agreement is three years, during which Kangrim Heavy Industries plans to hire 150 new employees. Established in 1981, Kangrim Heavy Industries specializes in manufacturing ship boilers and inert gas generators (IGG).
The company aims to expand production of existing products while also producing newly developed items at the new facility due to the recent increase in order volumes.
Shin Han-seong, Vice President of Kangrim Heavy Industries, stated, "This investment will help establish a stable production system, optimize manufacturing processes to reduce costs, and respond to future order expansions while emphasizing local talent recruitment and cooperation with regional businesses."
Kang Ki-yoon, Mayor of Changwon Special City, remarked, "The expansion of Kangrim Heavy Industries' production facilities is an investment that enhances the production capacity of the shipbuilding equipment industry and the competitiveness of the local manufacturing sector. We will provide administrative support to ensure that the investment plan leads to tangible results."
However, it is important to note that the 86 billion won figure represents the planned investment amount based on the company's submitted investment plan, not the actual amount that has been executed. The key to assessing the actual investment outcome will be whether the land acquisition, facility and equipment investments, and hiring proceed as planned.
Changwon City plans to continuously monitor the progress of the project and the status of subsidy applications following the signing of the agreement.
* This article has been translated by AI.
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