Hanwha Group has taken the first step in a massive overseas investment plan.
Hanwha Chemical Corp. said Monday that it will build a W360 billion (US$1=W938) chemical plant in China to strengthen its core vinyl business and secure future growth engines.

The plant, to be located in Ningbo in Zhejiang Province, will start mass production in 2010.

Once the Chinese plant begins full operation, the company hopes to achieve annual sales of W300 billion and operating profit of W50 billion in China based on its experience and secure sales network in the country.

Hanwha said that markets in the Zhejiang Province area suffer from a lack of supply because output falls far short of the market size.

"We will use the project as an opportunity to not only secure our status as the leading polyvinyl chloride maker in China but also grow into a global company by expanding our overseas sales and profits bases," the company said.