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LG Chem to build a cathode plant in Gumi―the first embodimen 상세내용
- LG Chem to build a cathode plant in Gumi―the first embodimen
- 등록일2019-08-12 15:06:31
Gyeongsangbuk-do, Gumi-si, and LG Chem signed an agreement for investment in LG Chem’s new cathode plant. The plant represents the first embodiment of the province’s own job-creation model, which invites workers, employers, the private sector, and the government to work together to overcome low employment and boost the local economy.
On the 25th (Thursday) at 3:00 p.m., at Gumico, Gyeongsangbuk-do and Gumi-si held a signing ceremony with 500 attendees, which included President Moon Jae-in; Gyeongsangbuk-do Mayor Lee Chul-woo; Gumi Mayor Jang Se-yong; LG Chem CEO Shin Hak-cheol; National Assembly Persons Baek Seung-ju, Jang Seok-chun, and Kim Hyun-gwon; Senior Secretary for Job Creation Jung Tae-ho; and other Cheongwadae officials, ministers and ministerial officials, business leaders, and local representatives.
At the ceremony, President Moon thanked and congratulated Gyeongsangbuk-do, Gumi-si, and LG Chem’s representatives and other guests for creating a locally driven job-creation model, and affirmed his commitment to fostering favorable conditions for identifying and creating jobs.
Governor Lee also expressed his gratitude, saying, “With the support from President Moon Jae-in and other members of the government and the political sphere, LG Chem, local labor organizations, and the people of Gyeongsangbuk-do now witness the first outcome of their joint efforts for the future of the province.”He added, “I hope that LG Chem’s new plant will become the foation for Gumi’s secondary battery ecosystem.” Furthermore, he stated, “We will use this opportunity to lead forward-looking industries by being more business-friendly and creating more jobs with the Gyeongbuk job-creation model.”
er the agreement, LG Chem will invest KRW 500 billion in a 60,000-ton cathode plant to be built on an approximately 66,000 m2 site inside the Gumi National Industrial Complex 5 from 2020 to 2024. Combined with indirect employment by associated businesses, the plant is expected to create aro 1,000 jobs.
The Gyeongbuk job-creation model is designed to achieve one of the main economic goals of the current Gyeongsangbuk-do administration, which is to build a business-friendly Gyeongsangbuk-do. With a on business-friendliness and job creation, the model will promote collaboration among workers, employers, the private sector, and the government to improve labor–management relations, promote shared growth, and achieve the sustainable growth of businesses.
LG Chem’s investment is key to promoting shared growth by creating jobs in Gumi. It is also aligned with Korea’s national strategies to improve the country’s insourcing capabilities in the advanced materials sector, prevent the unsanctioned transfer of core technologies, and ensure the sustainable growth of forward-looking industries. Furthermore, the investment represents a shift of investment from the Seoul Capital Area to other parts of Korea.
The investment is expected to serve as a model for Korea’s balanced growth. It is made more significant by the fact that LG is repaying its debt to the local community during its presence at the Gumi Complex over the last five decades.
Above all else, the new job-creation model represents an emergency solution against the recession of the global economy, Japan’s export regulations, and the deeply distressed local economy. It is expected to attract investments faster than Gwangju’s job creation program, and it is projected to offer benefits to Gumi’s local economy, far exceeding the size of the investments.