South Korea’s major food manufacturer, CJ Cheiljedang Corp. (CJ) has revealed plan to invest Won 70 billion (US$63 million) to build a new 66,000 sq.metre production plant in HCMC, Vietnam, as part of its ASEAN expansion goal.
The plant is expected to complete construction by July 2018 and will have an annual production capacity of 60,000 tonnes of food products, including both refrigerated and frozen foods.
Earlier in February 2016, CJ has taken over 3 Vietnamese food producers as part of its strategy to expand in this market.
CJ Cheiljedang views Vietnam as the outpost for the ASEAN market, and it hopes to achieve Won 700 billion (US$6.27 billion) in annual revenue in this country by 2020.
The announcement came following the group Chief Lee Jae-hyun's return to management in May after a 4-year hiatus as he was imprisoned for embezzlement and tax evasion.