By Kim Yoo-chul
Staff Reporter
Hanwha L&C, an auto parts supplier and a subsidiary of Hanwha Chemical, has begun operating its first European plant in the Czech Republic, a result of some $25-million investment with an 18-month construction period.
Company officials say its Czech plant could play a role as the bridge for the European expansion amid the rising demand for cars. As for the further back-up plan, Hanwha is moving to invest more in other European countries.
"The plant is capable of producing 3,000 tons of car components such as glass mat thermoplastics (GMT) and expanded polypropylene (EPP) for structural bumper materials such as bumper beams," Ju Lee-hye, a PR consultant for Hanwha, said Friday, adding the site was on a tract of land measuring 37,000 square meters.
The plant is the company's third overseas plant after that of the United States and China. Ju added that the Czech subsidiary will also engage in the production of interior automotive parts, construction materials and PVC compounds as well.
The company, based in Seoul, is mainly producing flooring, window profile extrusions and packaging films for vehicle exterior and interior.
It currently secures South Korea's Hyundai-Kia Automotive Group, Toyota, Honda of Japan, General Motors (GM) and Volkswagen of Germany as key clients.
"Hanwha will expand our footstep in Western Europe and even in Russia to continue our competitive edges in car-related materials and equipment," Choi Woong-jin, chief executive at Hanwha, said in a statement.