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South Korea Business Report

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Discovery Reports

Keyyang Precision spurs fresh growth with latest air compression technology

South Korean automotive turbocharger maker has invested more than 6 per cent of its sales into global research, and is eager to serve China and India

PUBLISHED : Wednesday, 25 October, 2017, 10:36am
UPDATED : Wednesday, 25 October, 2017, 10:36am

Keyyang Precision is a company that specialises in studying and manufacturing automotive turbochargers, which are devices that reuse the energy of exhaust gas from the engine to rotate the turbine and compress the air. The air is then supplied back to the engine. This function enables to downsize the engine and improve the environment.

“Through increasing the output power and reducing the weight of the engine, the turbocharger is the only mechanism that can simultaneously catch two rabbits – fuel economy improvement and engine downsizing,” says Chung Byung-kee, CEO and president.

The key to Keyyang Precision’s success and strength is a perpetual commitment to research and development (R&D). To gain a competitive advantage in the automotive industry, the company has invested more than 6 per cent of its sales into R&D. In South Korea, the company has two R&D centres where researchers with master’s and doctorate degrees are studying the source technology. Moreover, Keyyang Precision sends researchers to research facilities in the United States and the European Union to carry out collaborative research projects.

“Keyyang Precision is not just providing automotive turbochargers. Our goal is to be the world’s leading research group in the field of aerodynamics,” Chung says.

Keyyang Precision is the company that global automotive companies such as General Motors and Hyundai Motor credit as the best supplier. Its engineers and technicians have outstanding technical skills and manufacturing ability to install engines that rank as last year’s 10 best engines globally and in China. Besides these, Keyyang Precision holds capacity for application engineering that can comply with the requirements of carmakers.

With a production base in China providing momentum, we are planning to make the strategy for competitive price and outstanding performance in the Indian and Southeast Asian markets
Chung Byung-kee, CEO and president, Keyyang Precision

“We are prepared to meet the demands in the region. With a production base in China providing momentum, we are planning a strategy for competitive price and outstanding performance in the Indian and Southeast Asian markets and for differentiated services in the US and European markets. Especially In China, India and Southeast Asia, we will offer high-quality service by leveraging our more than 20 years’ experience in automobile part development and manufacturing,” Chung says.

By focusing on air compression technology and aerodynamic efficiency, Keyyang Precision can work in various business fields.

Turborchargers can also benefit aviation and space applications. With the help of customer support, Keyyang Precision was able to complete its own turbocharger design approach and inspection methods.

Since the company’s R&D centre was established in 2005, Keyyang Precision has focused on air compression technology and aerodynamic efficiency. The company is not only developing turbochargers for internal combustion, but small turbochargers for hybrid electric vehicles, electric compression for fuel cell vehicles, and range extender turbochargers of electric vehicles. Apart from these automotive parts, various fields such as power generation facilities, air conditioning and circulation systems have benefited from turbocharger technology.

“We had to change the mindset of our people, and the key was employee education,” Chung says. “We encouraged them to participate in joint studies with various institutions and government projects to build their confidence. We instilled the ‘can do’ attitude, and that’s why we succeed.”

As the turbocharger market grows rapidly in North America, Europe and China, Keyyang Precision makes persistent efforts to improve hi-tech material development skills and manufacturing skills. Among these markets, Asia is the fastest-growing market.

Upon the completion of the first stage of Keyyang Precision’s additional production infrastructure by the end of 2019, the company will be able to provide a maximum of 2.5 million turbochargers. Eager to serve Asia, particularly China and India, Keyyang Precision seeks to raise the standards in the region by leveraging its experience in automotive parts development and manufacturing.

www.keyyang.co.kr