Swedish Company Höganäs Completes Busan Plant
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The Swedish Company, Höganäs, has begun operations at its new Busan production facility. The City of Busan and Höganäs Korea Production Ltd. held a completion ceremony for the plant, which occupies nearly 11,000 square meters in the foreign investment zone of the Mieum Industrial Complex, on January 23, 2014.
Höganäs was established back in 1797 in Sweden and is now a global company manufacturing metal powder with annual sales of over USD $1 billion.
These strong, metallic compound mixtures are used in reducing the weight of auto parts and shipbuilding equipment and are highly sought after in the global market. Construction of the new facility promises to enhance the competitiveness of Busan and the Gyeongnam area across many industries.
Among these is the auto industry which is trending towards more fuel efficient vehicles with lighter, stronger engine designs, thus reducing the amount of harmful emissions. Production at the plant is seen to greatly benefit both Höganäs and the local auto industry.
The Mieum Industrial Complex was designated as a foreign investment zone with a total area of over 330,000 square meters by the Ministry of Knowledge Economy in December, 2011. A total of 134.8 billion won has been spent so far to develop the complex, which is the largest amount of government support made to a local foreign investment zone. To date, over half the zone has been occupied, with a total of six companies having invested in local operations.
To attract more foreign manufacturing companies into the area, the Mieum Foreign Investment Zone offers a variety of incentives including free leasing when investing more than $5 million, and other various tax credits and subsidies.
