Gyeonggi Governor Kim Mun-su signed a $100 million investment MOU with Schaeffler CEO Jurgen Geisinger during his visit to Germany last week.
Schaeffler, a global leading supplier for the automotive and industrial equipment industries, will establish a manufacturing facility for automotive engine components on a 34,060 square meter-site at Jangan Industrial Complex No. 2 in Hwaseong City, Gyeonggi Province by April and start commercial production in January of 2014.
Until now, Schaeffler Korea had focused on the simple assembly of components brought from its Germany headquarters. It will engage in the entire manufacturing process with the new facility.
The investment is expected to generate 200 billion won ($179.1 million) in sales and create 620 jobs by 2018.
Kim pledged full administrative support for the German company during the signing ceremony, adding, "The establishment will bring Schaeffler's advanced technology and experience to Korea, which will eventually lead to the development of the Korean automobile industry."
Schaeffler has 74,000 employees in 180 countries. Schaeffler Korea operates
five factories in three cities, including Ansan, Changwon and Jeonju, with about
1,800 employees. Sales surpassed 1 trillion won last year.
Source: Yonhap News (Feb. 23, 2012)