HIVAC has begun the construction of a future automotive parts manufacturing plant at the Daegu National Industrial Complex.

HIVAC, a leading company specializing in heat exchangers for future eco-friendly vehicles (CEO Park Jae-yong), plans to invest 50.1 billion KRW to build a manufacturing plant for future vehicle parts at the Daegu National Industrial Complex. HIVAC recently signed a memorandum of understanding (MOU) with Daegu city regarding this investment.

Founded in 2007, HIVAC is a company specializing in the production of thermal management and air conditioning components for future eco-friendly vehicles, such as electric and hybrid vehicles. Based on its patented technology in vacuum brazing, HIVAC transitioned to become a specialized manufacturer of heat exchangers for future eco-friendly vehicles in 2018, and currently supplies products to major Hyundai and Kia models.

The new plant is set to break ground this October and is expected to be completed by April next year. With the launch of the new plant, HIVAC expects to generate 120 billion KRW in revenue by 2028. If this target is met, the company will achieve an annual average growth rate (CAGR) of over 50% in the next five years.

In particular, HIVAC’s integrated thermal management system components will be applied to Kia's newly released EV3 model this year, as well as the upcoming EV4 model set for release next year. The production volume is expected to expand further depending on market demand.

Park Jae-yong, CEO of HIVAC, stated, “HIVAC is rapidly growing in the field of heat exchangers for future eco-friendly vehicles based on core production technologies. We will do our best to become a representative company of Daegu, the future mobility city.”

Daegu = Reporter Jeong Jae-hoon, jhoon@etnews.com