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Gumi, Optimal Location for Defense Innovation Cluster, Leads Defense Industry in Its Heyday 상세내용
- 제목
- Gumi, Optimal Location for Defense Innovation Cluster, Leads Defense Industry in Its Heyday
- 등록일2022-10-06 19:28:10
- 작성자 investment [ 박근배 ☎054-880-4612 ]
- 내용
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- LIG Nex1 to Invest KRW 110 Billion by 2025 -
- Manufacturing Facilities in Defense Industry to be Expanded -
The Korean defense industry, which is enjoying a new heyday by raising its stock price day after day in the global market, has also come to fruition in Gumi, Gyeongsangbuk-do.
Gyeongsangbuk-do and Gumi City announced that they had signed an investment Memorandum of Understanding (MOU) worth KRW 110 billion with LIG Nex1 at the investment agreement ceremony held at Gumi City Hall on September 28.
The event was attended by Dal-hee Lee, Deputy Governor of Gyeongsangbuk-do for Economic Affairs, Jang-ho Kim, Mayor of Gumi, Bae-ho Park, head of Production Division at LIG Nex1, Ja-keun Ku, member of the National Assembly, and Yeung-shik Kim, member of the National Assembly, among others.
LIG Nex1, which produces guided weapons, radars, etc., plans to invest KRW 110 billion to expand its Gumi plant and hire 150 new employees by 2025.
This investment is expected to serve as an opportunity to further increase its share in the global defense market, based on LIG Nex1’s advanced technology.
Recently, K-defense, short for the Korean defense industry, is creating a great sensation in the global market, and the exports of the Korean defense industry this year are expected to exceed USD 10 billion, the largest ever.
According to the Stockholm International Peace Research Institute (SIPRI), South Korea’s share of the global arms export market between 2017 and 2021 was 2.8 percent, ranking 8th*.
In particular, its market share during the same period was 177 percent higher than that in the 2012-2016 period, by far the highest growth among the top 25 arms exporters. If the current trend continues, it would be possible for South Korea to rank among the ‘worlds top four arms exporters.’
*The top arms exporter is the U.S., followed in order by Russia, France, China, Germany, Italy, and the U.K.
LIG Nex1 also signed a contract with the United Arab Emirates (UAE) in January of this year to export ‘Cheongung II,’a ballistic missile interceptor system worth KRW 2.6 trillion, often dubbed the Korean equivalent to the U.S. Patriot missile defense system, and is playing a leading role in K-defense.
Meanwhile, Gumi, Gyeongsangbuk-do, is aiming to attract a defense innovation cluster.
Gyeongsangbuk-do is considered the optimal location for a defense innovation cluster, as weapons systems companies representing the domestic defense industry, including LIG Nex1, Hanwha Systems, and Poongsan, and around 250 small and medium-sized defense enterprises and venture firms are centered in Gumi, the nation’s largest production base for guided weapons and ammunition.
This investment by LIG Nex1 is expected to serve as a green light for Gumi to attract a defense innovation cluster.
-The Defense Innovation Cluster is a project in which, for the growth of small and medium-sized defense enterprises and venture companies, the Defense Acquisition Program Administration, local governments, and various industrial actors work together to build an ecosystem for innovative growth in the defense industry and to enhance the capabilities of defense companies.-
“As can be seen in Russia’s recent invasion of Ukraine, it has clearly been proven that peace without power cannot keep the people safe,”said Dal-hee Lee, Deputy Governor of Gyeongsangbuk-do for Economic Affairs, adding, “With this investment, we expect Gumi, Gyeongsangbuk-do, to emerge as a key base for establishing self-defense and changing the dynamics of K-defense. We will do our best to attract a Defense Innovation Cluster.”
- 담당부서 :
- Gyeongsangbuk-do Provincial Gove
- 전화번호 :
- 054-880-4614
