November 23, 2024

• 

[THE INVESTOR] Japan-based elevator maker Hitachi is reentering the Korean market after an 18-year hiatus, setting up a new Korean unit on June 22, the Korea Economic Daily reported on July 5.

The company entered Korea as a joint venture with LG Industrial Systems in the 1970s and built the nation’s first elevator for a high-rise building – the 63 Building in Yeouido, Seoul. 

But the firm left the market in 1999, selling its Korean business to Otis, the US elevator manufacturer.

According to the report, the newly established local unit has an initial capital of 4.32 billion won (US$ 3.75 million), and is jointly led by Japanese Katayama Tsuneaki and Korean Song Seung-bong.

Hitachi Korea is expected to start business from October, the report said.

Hitachi currently has the largest market share in China, producing more than 70,000 units annually. The company built the fastest elevator that moves 21 meters per second in China’s Guangzhou CTF Finance Centre last month.

Since Korea has the third biggest elevator market after China and India, Hitachi is not the only global elevator manufacturer that eyes Korean market. Leading elevator makers like Otis, Thyssenkrupp and Mitsubishi are also building plants and increasing investments in their Korean units.

By Song Seung-hyun (ssh@heraldcorp.com)