LG Chem is investing about 30 billion won to build another tech support center called the Huadong Tech Center in Wuxi of Jiangsu Province in China. The tech center offers integrated solutions, including product development and quality improvement to companies and partners that purchase LG Chem’s petrochemical products.
The South Korean chemical firm said on Wednesday that it signed a memorandum of understanding (MOU) with the city of Wuxi for the construction of the tech center. LG Chem will inject about 30 billion won while the city of Wuxi will provide the land and infrastructure for the construction and operations of the center. The construction of the tech center, which will be responsible for technical support for local customers and the development of petrochemical business, will start in the first half of the year and the operation will begin in May next year.
The Huadong region is home to many automotive materials and food packaging companies, which account for about 60% of LG Chem petrochemical division’s sales in China. The Huadong Tech Center, along with the company’s first tech center in Guangzhou, is expected to offer support to LG Chem’s customers across China.
About 60 research and development employees will be stationed at the Huadong Tech Center, which is a three-story building with a total floor area of approximately 10,000 m2, to provide technical support to customers. About a half of the personnel at the tech center will have Master’s degree or higher to provide a higher level of service. The center will be also equipped with pilot equipment whose scale is similar to those of customers’ mass-production equipment. The company will spend about 9 billion won for processing and advanced analysis equipment.