South Korea’s top 30 conglomerates are expected to invest a total of 122.7 trillion won ($100.9 billion) this year, up 5.2 percent from last year despite the slowing economy at home and abroad.

The country’s largest corporate lobby group Federation of Korean Industries on Wednesday disclosed its findings from a month-long survey on the investment plan of 30 largest Korean enterprises. According to the survey, this year’s capital expenditures of the top 30 corporations are estimated at 90.9 trillion won, 7.1 percent higher from the previous year. Investment on research and development is expected to amount to 31.8 trillion won, the similar level they pledged last year. Of the 30 companies, 18 groups are increasing their investment from last year while three enterprises are freezing it. Nine groups are found to be trimming down their investment funds this year.

Among them, Samsung Group is said to plan to spend 15.6 trillion won on constructing its semiconductor business complex in Pyeongtaek, Korea by 2018, and Hyundai Motor Group will likely invest 13.3 trillion won in developing eco-friendly and smart cars by 2018. SK Group is expected to allocate 5.4 trillion won for semiconductor facilities at SK Hynix, 1.3 trillion won for telecommunications network and 650 billion won for its broadband infrastructure business.

Another major Korean conglomerate LG Group is known to be planning to inject 10 trillion won to ramp up its OLED and LCD display production facilities by 2018 and 4 trillion won in LG Science Park in Magok at western Seoul by 2020. Additionally, Lotte Group will be investing 260 billion won to construct the second beer brewery factory, and Shinsegae Group is to spend 270 billion won by 2020 to bolster its duty free business. CJ Group is known to be investing 670 billion won on contents business this year alone.

By Kim Jung-hwan

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]