Samsung's $158 million FläktGroup HVAC facility breaks ground

Samsung acquired Germany-based FläktGroup, a leader in Heating, Ventilation, and Air Conditioning solutions, in a $1.68 billion deal last year. This company will be instrumental in expanding Samsung's market share in the data center cooling market.

To that end, the company has now broken ground on a new $158 million facility in South Korea where FläktGroup HVAC solutions will be produced.

Samsung announced last month that it will invest $158 million to build a new HVAC production line in Gwangju, South Korea. Construction is expected to be completed by 2028.

It's moving quick, as Samsung Electronics held a groundbreaking ceremony for the facility earlier today. The groundbreaking ceremony was attended by key figures, including TM Roh, the president and head of Samsung Electronics' Device eXperience division as well as Tobias Kettele, chief financial officer of FläktGroup. The facility will be massive, with a total floor area of 21,800 square meters, with full-scale operations projected for 2028.

This new facility will be the 15th global production facility for FläktGroup, which is already a significant player in the HVAC market. Samsung will primarily produce HVAC solutions for AI data centers and advanced semiconductor and battery plants.

Coolant Distribution Units, Fan Wall Units, Computer Room Air Handlers, and Air Handling Units for large buildings will be among the products produced at this facility.