The South Korean group Iljin Materials has chosen Tarragona to open what will be its first factory in Europe, and the second outside South Korea after the one in Kuching (Malaysia). The decision was announced on 16 May after the company completed a process in which it has been visiting several countries since 2021 in search of a suitable location.

One of the reasons for the choice was the warm, mild climate in Catalonia, which Iljin CEO Yang Jeon-Sik describes as ideal for producing elecfoil. Catalonia's strategic location, the government's automotive industry policy, its efforts to attract investment, and the stable electricity grid with significant renewable energy production have also played a role.

Biggest greenfield investment in 20 years
After meeting with the company's directors in Seoul, the Catalan Minister for Enterprise and Employment, Roger Torrent, explained that the factory will be located in Mont-roig del Camp (Tarragona), will have a surface area of 30,000 square metres and will create 500 jobs. According to Torrent, this is the largest greenfield investment (i.e. the establishment of a company with no previous presence in our country) in Catalonia in the last twenty years.

Production of elecfoil, copper foils thinner than a human hair that form an essential part of lithium batteries, will begin in 2024 once the factory construction process has been completed. The company will invest 600 million euros in the plant, which will have a production capacity of 25,000 tonnes per year, increasing Iljin's capacity to 130,000 tonnes per year. This is in addition to the 15,000 tonnes produced in Korea and 90,000 tonnes in Malaysia.

This investment is the first in an expansion plan by which the company aims to achieve production of 100,000 tonnes per year in Europe in order to meet the expected needs of the continental electric vehicle market.

PERTE for the development of electric and connected vehicles
Last month, Iljin Materials joined the Future: Fast Forward consortium led by Volkswagen Group and Seat, and it is the first to sign up to the PERTE (Strategic Project for Recovery and Economic Transformation) for the development of electric and connected vehicles. The company is one of the few in the world that is dedicated to producing elecfoil, and it is the only Korean company among the 62 partners participating in the Spanish project.

As Yang Jeon-Sik explains, “It is very significant that we have secured a competitive production base in Europe, a key market for electric vehicles. We will become a world-class global company.”

^{Photo: Generalitat Catalunya}