Höganäs AB has announced the opening of a new mixing plant in Busan, Korea. The new facility has a yearly capacity of 20,000 tons and is expected to make sales of SEK 400 million (€45 million) in the Korean market during 2014.
The mixing plant is Höganäs’ most modern one to date. It has been built to minimise the distance from warehousing to mixing, packing and finally delivery. The facility features a well-equipped test laboratory and has already received its first ISO 9000 certification.
Alrik Danielson, CEO and President of Höganäs AB, stated in an interview with the Korean Economic Daily, “Up until now, Höganäs Korea has mainly engaged in importing metal powders for customers such as Hyundai Motor and Kia Motors and their partner firms. Once the Busan plant is up and running, we will be able to customise our products to the needs of customers. The time it takes to deliver goods will also be reduced to a week from as much as three months.”
“We will also open markets in Southeast Asia. As we secured large tracts of land for the plant, we will consider capacity expansion sooner or later,” added Danielson. “Busan will be the centrepiece of our Asian strategy. After the demand from Japan, Taiwan, and other Asian markets rises, we will set out to expand the plant in Busan within three years.”
The inauguration began with ceremonial tree planting and ribbon cutting ceremony, followed by speeches from the Swedish Ambassador to Korea, the Vice Mayor of Busan and the Chairman of the Korea PM Association.