POSCO Inter Provides 1 Billion KRW Export Growth Fund to Domestic Auto Parts Companies

Achievements of the May Agreement on Establishing the New Financial Support Win-Win Platform

Last May, POSCO International signed a business agreement with the Export-Import Bank of Korea and Seoul Guarantee Insurance to establish a 'New Financial Support Win-Win Platform' to support financing and exports for small and strong parts companies. (From left) Joo Si-bo, CEO of POSCO International; Bang Moon-kyu, President of the Export-Import Bank of Korea; Kim Sang-taek, CEO of Seoul Guarantee Insurance (Photo by POSCO International)

[Asia Economy Reporter Kim Ji-hee] POSCO International is stepping up to support domestic small and medium-sized parts manufacturers struggling due to the COVID-19 pandemic.

POSCO International announced on the 7th that it recently provided 1 billion KRW in export growth funds to Hanmi ADM, which produces aluminum products for automotive lightweighting, in cooperation with the Export-Import Bank of Korea. This financial support is a result of the 'New Financial Support Win-Win Platform Establishment' agreement signed in May between POSCO International, the Export-Import Bank of Korea, and Seoul Guarantee Insurance to establish an export foundation for small and medium parts manufacturers. The funds will be used to build Hanmi ADM's overseas export and logistics infrastructure.

POSCO International collaborates with Hanmi ADM, which has excellent technology but faces challenges in customer response, financing, and localization, by providing customer demand and process information and acting as an export channel through JIT (Just In Time) delivery. Currently, all export volumes of Hanmi ADM, which supplies first-tier parts to global automakers such as GM and FCA, are sold through POSCO International. Since the cooperation began in 2010, cumulative sales have exceeded 200 billion KRW.

A POSCO International official stated, "We are striving to practice the 'corporate citizenship' philosophy of mutual growth by not only cooperating in production and sales with domestic small and medium parts manufacturers but also responding together to local buyers' demands and strengthening sales networks." He added, "We plan to expand activities that provide practical help to more companies and continuously create a virtuous cycle of win-win growth where small and medium enterprises and large corporations grow together."

This content was produced with the assistance of AI translation services.