DGFEZ attracts a KRW100 billion investment from Samick-THK (foreign-invested firm)
 

• 98.7billion won includes expansion of LM guide assembly line in a 43,000m² lot in Daegu Technopolis
• THK Japan to invest 15 million dollars, accounting for 15% of the total investment
• The investment to create 120 new jobs for young job seekers, promote local economy

Daegu Gyeongbuk Free Economic Zone Authority (Director Lee In Seon, hereinafter referred to as DGFEZ) signed an MOU on May 15 in the main meeting hall in the 5^th floor, with attendees including Lee In Seon, Director of the DGFEZ, Kim Young Chang, deputy mayor of Daegue Metropolitan City in charge of economy and Jin Yeong Hwan, CEO and Chairman of Samick-THK Co., Ltd., and agreed to construct a LM System* assembly line in a 43,000m² lot in Technopolis. The total investment amounts to KRW98.7 billion, including foreign investment of US$15 million from THK Japan.
      * LM (Linear motion) - movable part that slides along a rail called a guide
THK * plans to construct a dedicated plant including a batch process for LM guide production in Technopolis, with completion and full-scale production of the plant scheduled for the first half of 2020. The new plant will be operated as a dedicated factory for the production of LM guides armed with cost competitiveness comparable to global level. In addition to the 120 new hires by the company, additional jobs are expected to be created, which will boost youth employment and revitalize the local economy.
Samick-THK decided to invest in the new plant encouraged by the rapid growth of the semiconductor, mobile phone and TV display markets in South Korea and China, as the demand for LM guides and ball screws, which are key components for these products, has increased. Samick THK's investment is expected to create additional synergy effects in connection with the planned robot cluster construction by Daegu City.
This investment is the fourth major achievement of Lee In Seon, who took office in October last year as the 4^th Director of DGFEZ. The US$15 million investment is the largest foreign investment ever made in Daegu region since KNT’s investment in December 2011.
Lee In Seon, director of the Daegu Gyeongbuk Free Economic Zone Authority said about the investment “The Authority will actively support companies in the Free Economic Zone to collaborate with prospective companies in the region, doing our utmost to grow the resident enterprises and develop the local economy by applying by providing seamless one stop services."
THK, which decided to increase its investment in the Zone, developed the LM Guide remains the number one producer in the world of LM system since it developed the system for the first time in the world in 1972. THK is a KRW 2.8 trillion a year global company clocking up sales through 35 production bases around the world. The investment this year is aimed at responding to explosive growth in demand by expanding South Korean production capacity of Samick-THK.