Gyeongnam Province - Schaeffler Korea, 50 Billion KRW Investment Agreement for Changwon Plant

Establishment of Supply Base for Core Electrification Components and High-Precision Bearings

On the 9th, Gyeongsangnam-do signed an investment agreement with Schaeffler Korea to establish a supply base for core electrification components and high-precision bearings at the Changwon plant.

According to Gyeongsangnam-do, the signing ceremony was attended by Kim Byung-gyu, Vice Governor for Economic Affairs; Ryu Myung-hyun, Director of the Industry and Trade Bureau; Georg F.W. Schaeffler, Chairman of the Schaeffler Group; Damesh Arora, President of Asia Pacific; Lee Byung-chan, CEO of Schaeffler Korea; Yasar Kina, Changwon Plant Manager; and Jeon Gwang-bae, Labor Union Chairman.

Prior to the agreement, Chairman Georg F.W. Schaeffler was awarded an honorary citizenship certificate and honorary citizenship.

Lee Byung-chan, CEO of Schaeffler Korea (left), and Kim Byung-kyu, Deputy Governor for Economic Affairs of Gyeongnam Province, are holding the investment agreement.
[Photo by Gyeongnam Provincial Government]

The province explained that Schaeffler Korea was founded in 1953 and operates production plants and research and development centers in Ansan, Jeonju, and Changwon, leading the advancement of domestic bearing technology and localization.

It added that since 1998, three production plants and a research and development center have been established and operated in Changwon, directly and indirectly employing 745 people.

Schaeffler Korea plans to invest 50 billion KRW in the Changwon plant located in the Changwon National Industrial Complex by next year to establish electrification facilities for E-Mobility systems and high-precision bearings, and to hire 130 new employees.

The province expects that this agreement will lead the creation of a future-leading industrial environment and the establishment of smart factories in manufacturing sectors such as automotive, aerospace, and semiconductors, contributing to the revival of manufacturing and enhancement of industrial vitality.

With the visit of Georg, the founder and owner of the German global company Schaeffler Group, it is also anticipated that Schaeffler Korea will gain a competitive edge globally over production facilities in other countries including China in the Asia region.

Kim Byung-kyu, Deputy Governor for Economic Affairs of Gyeongnam Province (right), is presenting an honorary citizen certificate to Georg F.W. Scheffler, Chairman of the Schaeffler Group.
[Photo by Gyeongnam Provincial Government]

Vice Governor Kim said, “With this investment, we expect to maintain a leading position with high technology and competitiveness in the rapidly electrifying future automobile market,” and added, “Our province will cooperate mutually so that the region and companies can grow together, and we will spare no interest and support to ensure that the companies choosing to invest succeed.”

Chairman Georg said, “I am deeply honored to receive honorary citizenship from Gyeongsangnam-do,” and stated, “We will strengthen the capabilities of the Changwon plant to serve as a central base for research, development, production, and supply in the Schaeffler Group’s Asia-Pacific region.”

CEO Lee said, “Through this investment agreement, we will revitalize the local economy and become a company that contributes to national industrial development by combining Schaeffler’s innovation, quality, systems, and manufacturing technology.”

Gyeongsangnam-do decided to continue providing active administrative support with sustained interest to ensure the successful completion of Schaeffler Korea’s investment after the agreement.

Efforts will continue to secure future growth engines for the region through the operation of dedicated investment attraction organizations, advisory committees, and expansion of investment support systems.

This content was produced with the assistance of AI translation services.