Shinbo Supports Mando Partner Companies with 17 Billion KRW 'Joint Project Guarantee'

[Asia Economy Reporter Kwangho Lee] The Korea Credit Guarantee Fund announced on the 27th that it will provide 17 billion KRW worth of "joint project guarantees" to partner companies participating in Mando's "High Value-Added Future Car Parts Preemption and Export Expansion Project."

The high value-added future car parts preemption and export expansion project supported by the Credit Guarantee Fund this time is a mass production business for parts of electric vehicles and autonomous driving systems. Among the partner companies participating in the project, nine companies will receive joint project guarantee support totaling 17 billion KRW. The funds will be used to produce core future car parts to be exported to overseas automakers such as Ford, GM, and BMW.

This joint project guarantee is the third support for the future car industry following Hyundai Motor Company and Hyundai Mobis. Through this guarantee, the Credit Guarantee Fund has established a support system covering the entire automotive manufacturing ecosystem, from large companies' vehicle production to excellent mid-sized companies' core parts mass production.

The joint project guarantee is a product in which the Credit Guarantee Fund evaluates the business feasibility of projects jointly promoted by large companies and partner companies and provides guarantees to the partner companies. Unlike the existing method that mainly reviews past performance such as individual companies' sales and financial ratings, this method supports by reviewing the innovation and growth potential of the joint project. Even partner companies with low credit ratings or weak financial ratios in the medium to low credit range can receive guarantee support.

A representative from the Credit Guarantee Fund said, "Even companies whose sales performance or credit rating has temporarily declined can receive guarantee support through the joint project guarantee if the project's business feasibility is excellent," adding, "In the future, we will actively discover and support innovative projects led not only by large companies but also by mid-sized companies with excellent technological capabilities."

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