Samsung Electronics (005930.KS) will produce heat pump boilers in South Korea, shifting output previously made in China back home as the government expands support for eco-friendly equipment.
Samsung Electronics said on the 24th that it has built a 2,132-square-meter (about 645-pyeong) production line for EHS (Eco Heating System) heat pumps at the Second Campus of its Gwangju plant in Jeonnam Gwangju Integrated Special City, and began trial production on the 19th. After checking the production process, equipment stability and finished-product performance, the company plans to begin full mass production from late September. Annual production capacity exceeds 100,000 units, all of which will be supplied to the domestic market.
EHS heat pumps offer higher energy efficiency than conventional fossil-fuel-based boilers and can reduce carbon emissions. The eco-friendly heating equipment uses ambient air heat and electricity to provide indoor heating and hot water. At a water outlet temperature of 35 degrees Celsius, it has a seasonal coefficient of performance (SCOP) of 4.9, generating about five times as much heat energy as the electrical energy it consumes.
This year, the government recognized ambient air heat as renewable energy, offered subsidies covering up to 70% of heat pump installation costs and eased the progressive electricity rate system. It also allowed investment tax credits to be applied to business and manufacturing equipment. Samsung Electronics is the first company participating in the government's heating electrification program to build a dedicated production line to shift overseas production back home.
Samsung Electronics is also conducting field tests of its "EHS All-in-One" solution, which provides cooling, heating and hot water in a single system, at Samsung C&T (028260.KS) housing research centers in Jeju and Yongin, Gyeonggi Province. Through this, the company plans to apply heat pump systems to a range of residential spaces, extending beyond detached houses to multi-unit dwellings such as apartment complexes.
"By combining the heat pump technology we have accumulated in the global market with domestic manufacturing and service competitiveness, we will present solutions optimized for Korea's residential environment," said Lim Seong-taek, executive vice president of Samsung Electronics' DA Business Division.
