Cho Hyun-joon, chairman of Hyosung, to target the post-COVID US market

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Sep 14, 2021, 09:57 ET

SEOUL, South Korea and MEMPHIS, Tennessee, Sept. 14, 2021 /PRNewswire/ -- Cho Hyun-joon, chairman of Hyosung, embarked to full-fledge target the United States (hereinafter addressed as U.S.) market, the world's largest market, in preparation for the post-COVID era.

Hyosung announced on the 13th that chairman Cho recently visited the ultra-high voltage transformer plant owned by Hyosung Heavy Industries in Memphis, Tennessee.

Hyosung Chairman Cho Hyun-joon and Bill Hackerty, Senator of Tennessee

This visit was made for the key businesses to examine the field management to target the U.S. market.

This corresponds with the strategic decision that the company must be recognized for its technology and quality in the U.S. and that it must enter the market before its competitors in order to reinforce its top position in the global market after the crisis from the pandemic and to gain power for its expansion to the new market.

The U.S. market is expected to grow rapidly centered on high-tech industries such as SOC, energy and automobiles, as the Biden government recently announced a plan to invest approximately $1.2 trillion for infrastructure improvements such as power grids and new renewable energy.

In this regard, chairman Cho stated, "The United States is the core of the global market that is rapidly changing in the post-COVID era." He also emphasized, "We need to increase our dominance in the U.S. market through meticulous localization strategies and anticipative responses that are centered on the customers."

Chairman Cho discussed mutual cooperation with Bill Hackerty, Senator of Tennessee

In early September, chairman Cho visited the ultra-high voltage transformer plant in Memphis, Tennessee, the first U.S. production base in the heavy industry sector, and examined the U.S market trends, prospects, and the future strategies.

This was followed by his meeting with the Tennessee Senator Bill Hagerty in order to request cooperation and support for this U.S. business. The two parties toured the production site in Memphis and shared in-depth discussions about the measures to revitalize the local economy.

Bill Hagerty, who had been a businessperson for a long time, worked for the Tennessee State Department of Economics and Community Development from 2011 to 2014, and led global companies to invest in Tennessee. He served in various posts including the position as the ambassador for Japan during the Trump government, and has been serving as a senator for Tennessee since January this year.

Chairman Cho expressed his appreciation for the support from Tennessee at this meeting and said, "In the future, we will strive to nurture experts in the heavy industry technology from this region and strengthen our partnerships with the power companies in order to contribute to the improvement for the infrastructure in the U.S. power market as well as the mutual growth with Tennessee."

Senator Bill Hagerty responded by declaring that the federal government will provide full and multilateral support for the growth and business expansion of the Memphis plant.

Chairman Cho proposed a business cooperation with the Tennessee Electricity Board to Senator Hagerty, and the two parties held discussions regarding the operation of industry-university linkage programs with major Tennessee universities in order to nurture the manpower for technology in the heavy electric field. During the discussion, chairman Cho also expressed his willingness to support the establishment of a system that will supply the parts and components using the local companies.

The Memphis plant is in the process of expansion with a goal to complete the construction by the end of this year. When the expansion is complete, the Memphis plant will be able to produce 60 ultra-high voltage transformers a year. This exceeds the original target by twice, and the sales next year is anticipated to exceed $100 million.

Hyosung plans to use its leading Memphis plant as a base to advance into the heavy industry sector of the U.S. market. Concurrently, Hyosung will also respond to the anticipated demands for electricity infrastructure replacement in the U.S. in the future, alongside its full-scale focus to target the new renewable energy market, such as ESS and STATCOM (a static synchronous compensator).

Hyosung Corporation Media Contact

Nari Kim, [email protected]

SOURCE Hyosung TNC