Iljin Materials said on Tuesday that it will be building a new copper foil factory in Hungary.
The Hungarian Investment Promotion Agency (HIPA) said the new elecfoil factory will be built at Godollo just outside of Budapest.
The new factory will take up a space of 50 million meter-square and produce 10,000 metric tonnes of elecfoil a year. Iljin Materials is planning to invest 14.2 billion won in the new factory, while the government will provide 2.7 billion won in funding.
The foils made in the new factory will be supplied to Samsung SDI and LG Chem.
Iljin Materials have previously said it plans to increase the combined production capacities of its factories in South Korea and Malaysia to 56,000 metric tonnes a year by 2021.
The company said in its disclosure in June that it plans to invest in a new factory in Europe through its Malaysia office IMM Technology. At the time, the company said it planned to invest 15 billion won up to March 31, 2021.
Iljin said the new factory was designed for slitting to better react to orders from its customers in Europe. It said the factory could be expanded for foiling if necessary.
Solus Advanced Materials has a copper foil factory at Tatabanya industrial zone at Hungary. The factory was completed this year and is the company’s only factory in Europe. Production capacity of the factory is 10,000 metric tonnes per year. Solus is planning to make another factory will a capacity of 15,000 metric tonnes per year by 2022.
SK Nexilis is building its fifth and sixth factories at Jeongeup. When the two factories are completed in 2022, the company will have a production capacity of 52,000 metric tonnes per year. The company is planning to build a new factory in Malaysia, where Iljin Materials already have a factory.