South Korean Group to Launch USD 80 Million Magnet Factory in Vietnam

Jan 2025

South Korea’s Star Group Ind. (SGI) is set to launch its USD 80 million magnet manufacturing factory, SGI Vina Co., Ltd., in Quang Nam province, Vietnam. The project, which received its investment registration certificate in October 2022, is currently in the equipment installation phase. Once operational, the factory will create approximately 1,050 jobs, consisting of 1,000 manual labor positions and 50 administrative roles.

Located in Bac Chu Lai Industrial Park, the SGI Vina factory will cover an area of 17 hectares and is designed to produce 4,000 tons of magnets annually. The facility will utilize various rare earth elements as input materials, including significant quantities of Praseodymium Neodymium (PrNd), Dysprosium Iron (DyFe), and Terbium Hydride (TbH) to meet production demands.

Kong Koon Seung, chairman of SGI and SGI Vina, expressed that the Quang Nam plant aims to attract investments from global automotive manufacturers. SGI has already established partnerships with major companies such as Hyundai Motors, Mercedes-Benz, and Stellantis. The strategic location of the factory is advantageous due to its proximity to Thaco, a prominent Vietnamese conglomerate that manufactures and sells various vehicle brands, including KIA and Mazda. This development underscores Vietnam’s growing role as a hub for manufacturing and investment in the automotive and technology sectors.

(Source: The Investor)

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