Sealy Korea to invest $30 mn in new Yeoju factory

[Courtesy of Sealy]

Sealy Asia Pacific Managing Director Simon Dyer announced that Sealy Korea is the fastest-growing operation within Sealy globally. To accommodate this growth, Sealy Korea will invest around $30 million to build a new factory in Yeoju, Gyeonggi Province, to increase production capacity.

Sealy is the world’s leading mattress company, and Dyer, who oversees the Asia-Pacific operations for Sealy Beds, praised the Korean market during an interview with Maeil Business Newspaper. He described Korea as a market with a modern economic system and a diverse bed culture, presenting significant opportunities for growth.

“The decision to build a new factory in Yeoju reflects our confidence in the market and our employees,” Dyer said.

Sealy Korea plans to build a new factory near its current Yeoju plant and relocate within two to three years. The company currently imports key components such as springs from Australia, but the completion of the new factory will allow for local manufacturing.

Sealy Korea saw sales hit 67.6 billion won ($49.2 million) in 2023, a 10.4 percent increase from the previous year. Unlike competitors struggling with a real estate and construction market downturn, Sealy Korea has successfully targeted the affluent market with its premium products that are priced around 8 million won.

Dyer emphasized Sealy’s strategy for the competitive Korean bed market, which focuses on building a local team of employees, expanding local manufacturing, establishing strong distribution channels, and delivering a compelling brand message to consumers.

“We aim to become the top brand in the Korean bed market,” Dyer declared.

He also noted the impact of the Covid-19 pandemic, which spurred a global home improvement boom that lasted around 18 months. But even as this market declined, Korea, Singapore, and Taiwan remain relatively stable while foreign investment in China decreased.

Dyer highlighted Korea’s unique bed technologies that cannot found elsewhere, such as stone and clay beds. He acknowledged the presence of long-established local bed companies with excellent expertise and technology, making Korea an attractive market for Sealy.