Investing KRW 550 billion to build a new plant in China
Aiming to begin operations in the second half of 2028
Doosan Corporation is investing approximately KRW 970 billion in copper-clad laminates (CCL) for AI data centers. The strategy is to significantly expand production-capacity of high-performance CCLs which are used in AI accelerators, network switches, and optical modules, to meet the surging global demand for AI infrastructure.
Doosan recently announced plans to invest a total of KRW 970 billion in facilities in Korea and China. The company will invest approximately KRW 420 billion in Korea to expand production lines for CCLs for optical modules, and approximately KRW 550 billion in China to build a production plant for CCLs for AI accelerators and network switches. The investment will be carried out in phases through 2028, with operation schedules to begin in the second half of that year.
This large-scale investment is driven by the growth of the high-performance circuit board market, fueled by the expansion of AI data centers. As AI accelerators and network equipment process data faster, the printed circuit boards (PCBs) connecting them are also shifting toward high-speed, high-density products. Consequently, demand for high-performance Copper-Clad Laminate (CCL), a key PCB material, is also rising.
Representative substrate manufacturers include Japan’s Ibiden, Taiwan’s Unimicron, and Korea’s Samsung Electro-Mechanics. Samsung Electro-Mechanics plans to invest approximately KRW 1.8 trillion into expanding its production capacity in Vietnam, while LG Innotek is also investing more than KRW 1 trillion to increase its substrate production capabilities.
As board-production capacity increases, demand for CCL, a key material, is bound to rise as well.
Increasing the production of materials for CCL is also continuing. Last month, Kolon Industries completed the expansion of its modified polyphenylene oxide (mPPO) production line at its second plant in Gimcheon, Gyeongbuk, and held a completion ceremony. mPPO is used in the fabrication of high-performance CCLs for semiconductor circuit boards as a low-dielectric material that reduces electrical signal loss.
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