Kolon Industries Invests KRW 70 Billion in Vietnam... Breaks Ground on Airbag Fabric Plant
Supply to global automotive safety parts maker Autoliv to begin in 2028
Integrated local production system from fabric to cushions
Annual revenue of more than KRW 50 billion expected from 2030
Kolon Industries will invest KRW 70 billion to build an airbag fabric production plant in Vietnam. The company plans to establish an integrated local production system, from fabric to airbag cushions, and strengthen its push into the global automotive safety parts market.
Key attendees take part in a shovel-turning ceremony at the groundbreaking for Kolon Industries' airbag fabric factory in Ho Chi Minh City, Vietnam, on the 20th. From third left: Park Yongwoo, head of Kolon Industries' AMS Business Division; Heo Seong, president of Kolon Industries; Christian Swan, senior vice president of procurement at Autoliv; and Ali Elitok, director of procurement at Autoliv. Kolon Industries
View original imageKolon Industries said on October 21 that it held a groundbreaking ceremony for the airbag fabric plant in Ho Chi Minh City, Vietnam, on October 20. The investment follows a contract signed in December 2025 with Autoliv, a global automotive safety parts company, to supply airbag fabric.
The new plant is scheduled for completion in June 2027, with product deliveries to Autoliv set to begin in January 2028. The company plans to stabilize production and expand supply volumes through 2029, with a target of generating more than KRW 50 billion in annual revenue from the new plant alone starting in 2030.
The existing plant in Vietnam has manufactured airbag cushions using fabric supplied from South Korea and China. With this investment, the company will install new weaving, processing, and coating equipment, enabling it to handle the entire process locally, from fabric production to cushion manufacturing. This is expected to improve production efficiency and cost competitiveness.
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Kolon Industries President Heo Seong said, "The new plant in Vietnam is an investment to ensure a stable supply of airbag materials to Autoliv, one of our most important customers. We will continue to strengthen our competitiveness in the global automotive materials market based on our differentiated technology and production capabilities."
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