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Busan Metropolitan City Signs MOU with Busan Cable & Engineering for Construction of Third Plant… Driving Expansion of Industrial Ecosystem and Job Creation

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Busan Metropolitan City (Mayor Park Heong-joon) announced that it will sign an investment memorandum of understanding (MOU) today (the 9th) at 11:00 a.m. in the City Hall video conference room for the construction of an industrial special cable production facility by Busan Cable & Engineering, a subsidiary of the Huatong Cable Group.

The event will be attended by key officials including Mayor Park Heong-joon, Zhang Shujun, General Representative of Huatong Cable Group, Kim Seung-il, CEO of Busan Cable & Engineering, Park Seong-ho, Commissioner of the Busan-Jinhae Free Economic Zone Authority, and Kim Bong-cheol, Assistant Mayor of Digital Economy Office, who will announce the large-scale expansion investment plan and sign the MOU.

Busan Cable & Engineering is a foreign-invested company established in 2019 in the Busan branch foreign investment zone by China’s Huatong Cable Group, and it is currently pursuing its third large-scale additional investment following those in 2019 and 2023.

The company produces industrial special cables to meet global demand for power lines and specialized cables, and has established a materials supply chain with domestic companies, thereby laying the foundation for mutual growth with local industries.

This expansion investment is expected to contribute to local job creation, with foreign direct investment (FDI) amounting to USD 39 million (KRW 54.6 billion in total, combined for phases 1 and 2) and plans to create 435 new jobs.

In addition, the company has maintained steady growth, achieving USD 100 million in exports in 2023, just five years after investing in Busan.

Busan Metropolitan City has established a one-stop support system from the initial stages of corporate investment, including corporate establishment, factory acquisition, and issuance of foreign investment visas, and has continuously worked to create a stable investment environment in cooperation with relevant institutions in legal affairs, finance, and immigration.

Despite ongoing global supply chain restructuring and economic uncertainties, the headquarters of Huatong Cable Group determined Busan to be a stable production base for responding to overseas demand and decided to proceed with additional investment.

This investment once again confirms Busan’s business-friendly investment environment and global logistics competitiveness, and holds significant meaning in terms of expanding the local industrial ecosystem and creating jobs.

Zhang Shujun, General Representative of Huatong Cable Group, stated, “Thanks to the strong support of Busan Metropolitan City and the Busan-Jinhae Free Economic Zone Authority, we have been able to carry out investment activities smoothly in Busan, and we are very grateful and pleased. We will continue to do our best to contribute to revitalizing the local economy and creating jobs.”

Mayor Park Heong-joon stated, “Additional investment by materials and components companies such as Busan Cable & Engineering demonstrates the excellence of Busan’s global logistics competitiveness and business-friendly investment environment,” adding, “We will actively support this investment so that it leads to the expansion of the local industrial ecosystem and the creation of quality jobs.”