“Wing~ 드르륵, 드르륵.”
On the 27th, at the EcoHub of KD Navien located in Seotan, Pyeongtaek, Gyeonggi Province, workers were busy assembling key components such as heat exchangers and circulation pumps into boiler cases the size of a human torso as they moved along the conveyor belt. Afterward, the finished goods were transferred to the logistics warehouse by robots. The EcoHub produces 10,000 boilers and water heaters daily for domestic and overseas markets.
The 132,000 square meters (approximately 40,000 pyeong) EcoHub is the world's largest boiler and water heater manufacturing plant based on annual production capacity of 2 million units. It began operations in 2014 and produced its 10 millionth boiler last April.
Another competitive edge of the EcoHub is its capability to manufacture components in-house. It produces essential parts for boiler manufacturing, such as heat exchangers, burners, circulation pumps, blowers, and gas valves. The component self-production rate reaches 60%.
◇The transformation of EcoHub…expanding production capacity and manufacturing kitchen appliances
The EcoHub is currently expanding its factory and preparing for a new transformation, focusing on increasing production capacity and the production of the recently launched kitchen appliance brand "Navien Magic."
The EcoHub plans to increase its site to 330,578 square meters (approximately 100,000 pyeong), expanding its annual production capacity of boilers and water heaters to 4.39 million units, with a target completion date of 2026. The Navien Magic brand factory will also be established as early as two years from now. The 3D Air Hood manufacturing plant in Gimpo, Gyeonggi Province, will later be transferred to the EcoHub.
Last May, KD Navien acquired the sales rights for gas ranges, electric ranges, and electric ovens from SK Magic. In October, it completed the transfer of three kitchen appliance production lines from SK Magic in Hwaseong, Gyeonggi Province, to the KD Navien Pyeongtaek Seogyo factory.
Subsequently, KD Navien unveiled its kitchen appliance brand Navien Magic on March 1, adding its own 3D air hood and air purifiers. The goal is to implement a kitchen system that manages indoor air quality by eliminating cooking fumes, rather than merely selling kitchen appliances.
The KD Navien Seogyo factory, which produces kitchen appliances, currently has an annual production capacity of 760,000 units, including 450,000 gas ranges, 260,000 electric ranges, and 50,000 electric ovens. In the future, technologies such as AI will be applied, and the plant will undergo modernization before being transferred to the EcoHub.
◇This year’s domestic sales target is 500 billion won...expanding to 1 trillion won by 2028
KD Navien also expects an increase in performance through the launch of Navien Magic. KD Navien recorded sales of 29.6 billion won in the home appliance business sector, which includes kitchen appliances, last year, excluding its main business of boilers and water heaters.
KD Navien plans to achieve sales of 100 billion won in the home appliance business sector this year, leveraging the launch of the Navien Magic brand. Following the subscription service for electric ranges and 3D air hoods in April, it will also introduce a subscription and management business for its main product, boilers. The goal is to increase total domestic sales, which currently stagnate at 400 billion won, to 500 billion won. By 2028, the target is to achieve domestic sales of 1 trillion won (300 billion won from Navien Magic).
KD Navien has also hinted at the possibility of establishing a factory in the United States. Last year, about 70% of its total sales of 1.35 trillion won were generated from overseas markets, with the U.S., China, and Russia being key markets. Currently, KD Navien only has a production facility in China.
On that day, Kim Yong-beom, vice president of KD Navien, noted, "We are closely monitoring the tariff policies of the Trump administration in the U.S.," adding, "We need to watch the situation, but if the negative impact is significant, we are considering establishing a factory in the U.S., which is a key market for KD Navien."
KD Navien plans to build a boiler and water heater factory on a site of 82,644 square meters (approximately 25,000 pyeong) in Virginia, which was acquired during the Trump administration. This site is currently being used as a logistics warehouse for KD Navien.
Kim stated, "KD Navien, which has expanded its business into kitchen appliances following boilers, is preparing for growth once again."