On April 2, South Korea's Hyosung and Hanhwa Solution signed a long-term cooperation agreement to supply carbon fiber to the latter for the production of high-pressure storage tanks for hydrogen energy vehicles. The contract will take effect from 2021 and will last for six years, with a total value of approximately 160 billion won (approximately 922 million yuan).
The signing of this contract helped Hyosung to lock in important market customers and contribute to the sustainable growth of the carbon fiber business. Hyosung said that the carbon fiber market is currently dominated by Japanese and American companies. After years of independent research and development, Hyosung Carbon Fiber finally defeated its strong competitors with its outstanding high-strength physical properties and obtained large orders for pressure vessels, which was not easy.
According to data, South Korea's Hyosung entered the carbon fiber market in 2008. The Jeonju plant was put into operation in 2013, and its own brand TANSOME was launched in the same year. Hyosung’s current carbon fiber production capacity is approximately 4,000 tons. The company plans to invest 1 trillion won (approximately RMB 5.76 billion) to expand and upgrade the Jeonju plant. It is expected to form a production capacity of 24,000 tons by 2028.