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Jun 19, 2023

Daejin expands: tabs LS Mtron molding machines for production

LS Mtron will be supplying Daejin with molding machines at its new plant in Tennessee.

Daejin Advanced Materials USA Inc. is investing $10.2 million to establish its second US manufacturing and processing facility to meet the increased demand for trays for electric vehicle batteries.

The facility, which will include machinery for injection molding, extrusion and vacuum forming, will be located in Cumberland City, Tennessee, close to Daejin’s EV battery customers.

Daejin has purchased two new LS Mtron molding machines for production; one 1600-ton machine, and one 3000-ton machine. LS Mtron is providing turnkey molding systems that include the machine, a 6-axis robot, conveyor and complete material feeding line. The trays that Daejin is producing are large parts weighing approximately 25 lbs.

Daejin opened their first U.S. plant in 2019 in Adrian, Michigan. The company has two LS Mtron molding machine cells running in that plant as well.

“We are very happy that Daejin has chosen LS Mtron as its partner for plastics part production as it continues its growth here in the USA,” said LS Mtron Injection Molding Machine North America Business Director Peter Gardner. “Our expertise in molding large parts, including those produced with engineering resins, has helped Daejin successfully mold these trays, which require critical tolerances and precision molding capabilities.”

LS Mtron provided a “plasticizing specialist” to support Daejin when it opened its first plant in Michigan in 2019.

“We do this for many of our customers, and it’s something that sets LS Mtron apart from our competition,” said Gardner. “Our specialists are trained in best practices for injection molding. In Daejin’s case, we helped provide them with the best formulas for production, and worked to create the best possible total cycle times, including the robot and automation.”

Daejin opened its first plant in the U.S. in 2019.

As an offspring of LG, LS Mtron machines are a perfect fit for e-mobility related businesses, said Gardner.

“The heavy use of LS Mtron machines by automotive suppliers including Hyundai and Kia in their EV production supply chains, is a testament to LS Mtron’s capability to provide high quality and reliable machinery solutions for this growing market,” he said.

The new Daejin plant in Tennessee is scheduled to open in 2023, and the company expects to create 83 new jobs in the area as a result of the project. Daejin employs approximately 1,000 people worldwide and has plants in six countries including China, South Korea, Vietnam, Poland and the Philippines. U.S. sales for Daejin were $5.6 million in 2019, the company’s first year in operation. 2020 U.S. sales were $10 million, and 2021 sales topped $20 million.

“This plant will be an important operation, which will expand our business in North America,” said CEO of Daejin Advanced Materials USA Sungjoon Yoo,. “The local community and the state of Tennessee have been extremely supportive, and we strongly believe that our company and the community can work together and grow together in the years to come.”

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