072025.07

French-Invested Company CAPEC Valeo to Invest KRW 160 Billion in Yeongcheon Hi-T

On July 7, 2025, the Daegu-Gyeongbuk Free Economic Zone Authority (DGFEZ), Gyeongsangbuk-do Province, Yeongcheon City, and LH Corporation signed an MOU with CAPEC Valeo at Yeongcheon City Hall to establish a new electric vehicle (EV) battery system facility in Yeongcheon Hi-Tech Park. CAPEC Valeo plans to invest KRW 160 billion (approx. USD 115 million) over the next five years and create at least 100 new jobs. The company will build a Battery System Assembly (BSA) production facility, which will support the growing demand for EVs, energy storage systems (ESS), and smart mobility applications. CAPEC Valeo is a joint venture between Korea’s PHC Group and France-based Valeo, a global automotive parts supplier. The company operates R&D and production sites in Daegu, Waegwan, and Seongju, specializing in automatic transmissions and driveline components. Yeongcheon Hi-Tech Park was chosen for its excellent logistics accessibility and strong local government support. The project is expected to contribute to localization of battery system technologies, reducing reliance on imports while enhancing safety and strengthening the EV industry ecosystem in Korea. Commissioner Byeong-Sam Kim stated, “This investment marks a major milestone for Yeongcheon Hi-Tech Park and will play a vital role in building a robust value chain for future mobility in the Daegu-Gyeongbuk region.”