Samsung Electronics breaks ground on HVAC production line in Gwangju

Samsung Electronics marked a significant milestone in its HVAC business on Monday with the groundbreaking ceremony for a new production line in Gwangju, South Korea. The company intends to allocate around 240 billion won (approximately US$173 million) for the construction of a 21,500-square-meter HVAC facility at its Gwangju site.

Scheduled to commence production in 2028, this new line will manufacture HVAC products originally from FlaktGroup Holding GmbH, a German-based ventilation company that Samsung Electronics acquired in the previous year.

The inauguration of the FlaktGroup production line is expected to propel Samsung Electronics' HVAC business, a crucial growth area for the firm. Roh Tae-moon, co-chief executive officer of Samsung Electronics and head of its device experience division, emphasized during the ceremony that this development will fortify the company's global production capacities for sophisticated cooling equipment and centralized HVAC solutions.

This strategic move comes as the demand for cooling and HVAC solutions for artificial intelligence (AI) data centers escalates at an unprecedented pace.