The Hanoitimes - By 2024, the factory would have around 900 employees with investment capital of US$370 million, which could be a symbol for technology transfer between South Korean and Vietnamese enterprises.
Vietnam’s first aircraft engine parts factory under the investment of South Korea’s Hanwha Aerospace, an aerospace business arm of Hanwha Group, has been put into operation on December 6, according to the governmental portal.
The Hanwha Aero Engines factory, which is located in the Hoa Lac Hi-tech Park on the outskirts of Hanoi, is scheduled to start full-scale production in January 2019.
Hanwha is the only aircraft engine maker in South Korea and one of the world’s top 10 companies with the most advanced technologies in this field, said Kim Seung Yeon, Hanwha’s president, at a ceremony to mark the completion of the factory on December 6.
Kim expected the Hanwha Aero Engines factory with cutting-edge technology would contribute to the development of Vietnam’s aviation and precision mechanical industries.
By 2024, the factory would have around 900 employees with investment capital of US$370 million, which could be a symbol for technology transfer between South Korean and Vietnamese enterprises, he said.
In addition to its main facility currently in Changwon, South Korea, Hanwha Aero Engines is the second production base of Hanwha Aerospace. The factory is a major part of the South Korean engine marker’s plan to increase its sales of civil aircraft engine parts to about US$ 879 million and lead the aircraft parts processing industry by 2025.
According to the Hoa Lac Hi-tech Park Management Board, the factory will help create thousands of local jobs, train high qualified human resources and transfer technologies, in turn enhance high technology capabilities of Vietnam.
According to Minister of Science and Technology Chu Ngoc Anh, the Hoa Lac Hi-tech Park currently has 87 investment projects with registered capital of VND78 trillion (US$3.34 billion).
Anh stated that the Hanwha brand name would lay the foundation for Hoa Lac to attract more hi-tech South Korean companies and businesses from other countries, contributing significantly to Vietnam’s science-technology capabilities.
Hanwha Group, founded in 1952, is one of the Top-Ten business enterprises in South Korea and a “FORTUNE Global 500” company. Hanwha Group has 61 domestic affiliates and 325 global networks in three major sectors: manufacturing and construction, finance, and services and leisure.