LG Electronics announced Wednesday it will invest KRW 50 billion (USD 35.87 million) to establish a new research and development center for heating, ventilation, and air conditioning in Changwon, South Gyeongsang Province, as part of the tech giant's broader HVAC expansion strategy. The company signed an agreement with Changwon National University to build the LG Electronics HVAC Research Center.

The signing ceremony was attended by LG Vice President Lee Jae-sung, head of the company's eco solutions division that oversees the HVAC segment; Park Wan-su, governor of South Gyeongsang Province; and Park Min-won, president of Changwon National University.

Facility Specifications and Timeline

The advanced facility will span 13,200 square meters inside Changwon National University and is scheduled for completion in the first half of 2027. The center will focus on developing air conditioners, heat pumps, chillers, and cooling solutions for data centers. The new center will be Korea's first research and development facility capable of conducting both extremely high and low temperature tests simultaneously.

LG states this capability will allow the company to secure reliable technologies and test performance under diverse environments.

Strategic Focus on AI Data Centers

LG Electronics has been focusing on thermal management systems in AI data centers, including large-scale chillers and liquid cooling distribution units, as a new growth driver for its HVAC business. The company is positioning these cooling solutions as a key component of its expansion strategy in the HVAC sector.

The company is also advancing core HVAC technologies, including compressors, motors, pumps, heat exchangers, and inverters, while developing technologies to meet stricter environmental regulations.

Corporate Objectives and Training Expansion

“Through strengthening our technology leadership and a locally integrated value chain that covers production, sales, and maintenance, we aim to become a global top-tier HVAC company,” LG said in a statement. Lee Jae-sung stated, “Through the establishment of the LG Electronics HVAC Research Center, we will expand the ecosystem of private-sector and academic cooperation,” adding the company will continue to develop eco-friendly technologies.

The company plans to relocate its HVAC Academy, currently based at Changwon Smart Park, to the new site to expand training infrastructure for domestic and global engineers.

Academic and Regional Collaboration

On the same day as the main agreement, LG signed an additional agreement with the South Gyeongsang provincial government and Changwon National University to foster local tech talent. The company said the new center will serve as a hub for industry-academia collaboration and for tech research and education infrastructure in various fields.

The facility represents a significant investment in Korea's HVAC research capabilities, with LG positioning itself to address the growing demand for sophisticated cooling systems in AI data centers while maintaining its focus on environmental sustainability and technological advancement.

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