DAEGU < invest Korea

According to Yonhap News,

A mid-sized auto-parts maker, Erae AMS, kickstarted making a large-scale investment into the city of Daegu. Erae AMS signed an MOU on May 12 with the city government over an investment partnership to establish a manufacturing plant producing automobile components mounted on plug-in cars and self-driving vehicles and to develop an open manufacturing platform (OMP). It’s been almost two years since the auto-parts maker has struck the very first round of investment deal to create jobs since June in 2019. The follow-on agreement entails making investments worth KRW 82.1 until May 2024, adding nearly 118 new jobs.

Moving part of its manufacturing facilities, being operated separately in Jincheon-gun in North Chungcheong Province and Daegu city, into Daegu factory until September this year, Erae will focus greater on building up an integrated form of manufacturing system to produce its flagship products, half shafts (or drive shafts), car parts which connect a rear differential to a rear wheel.

On top of such efforts, Erae also unveiled its business scale up plans to improve its ADAS(advanced driver assistance system) and ESC(electronic stability control) manufacturing capacity, while advancing technologies of the future mobility; e-Axle (a powertrain for electric cars), VCU (vehicle control unit) and an EV manufacturing open platform etc.

Having developed the driver shafts, Erae has steadily expanded its market presence, reaching KRW 400 billion in 2018 and 1 trillion in 2020 in sales. By gradually driving up the share of EV parts production, the auto parts manufacturer plans to target hitting KRW 1 trillion and KRW 2 trillion in net sales and order respectively by the year 2025.

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Source:Yonhap News (May 12, 2021)