The People's Committee of Hai Phong City approved LG Innotek for additional capital of US$1 billion from 2023-25 on Monday, raising the company's total investment to over $2 billion.

The LG Innotek's Hai Phong factory is located in Trang Due Industrial Park and invested in by LG Innotek Vietnam Hai Phong Co Ltd. It officially commenced operations in 2020 after obtaining an investment certificate in 2016. The factory specialises in manufacturing electronic components for the automotive, mobile, and phone camera module industries.

The V3 plant expects to generate an additional 2,600 jobs once it begins production, as well as an estimated annual profit of $400 million, contributing an additional VND100 billion (US$4.34 million) to the State budget every year.

Speaking at the conference, Secretary of the municipal Party Committee Le Tien Chau affirmed that the event marks substantial development of the LG Corporation and LG Innotek Vietnam Hai Phong in the northern city.

According to the official, among a total of 42 countries and territories registering for foreign direct investment in Hai Phong, the Republic of Korea (RoK) takes the lead in terms of both project number and value, with 173 projects worth $9.65 billion.

LG’s projects are the most prominent, with a total value of $7.24 billion.

The LG Corporation has been assisting the city in social welfare activities, such as providing scholarships for universities and contributing US$1.4 million to the national COVID-19 Vaccine Fund. Its business success in Hai Phong has also contributed to strengthening the cooperative and friendly relations between Viet Nam and the RoK.

Senior Managing Director of LG Innotek Cho Ji Tae wished that leaders of Hai Phong and the Northern Power Corporation would continue focussing their attention on ensuring a stable power supply to serve manufacturing operations of the company. — VNS