Hyundai Mobis Builds New Eco-Friendly and Automated Integrated Logistics Center

Stable Supply of Domestic A/S Parts Aligned with Future Car Consumption Trends

[Asia Economy Reporter Kiho Sung] Hyundai Mobis is establishing a new integrated logistics center in South Korea to strengthen customer service capabilities in response to changes in the future automotive environment, such as the increasing demand for electric vehicles. The newly constructed logistics center will not only efficiently and stably supply A/S parts for domestic vehicles but also transform into an advanced logistics hub applying eco-friendly systems and automation technologies.

On the 10th, Hyundai Mobis announced that it held a 'Memorandum of Understanding (MOU) Signing Ceremony for the Establishment of the Yeongnam Region Integrated Logistics Center' at Gyeongju City Hall. The event was attended by Lee Cheol-woo, Governor of Gyeongsangbuk-do, Joo Nak-young, Mayor of Gyeongju, and Cho Sung-hwan, President of Hyundai Mobis. At the event, Hyundai Mobis explained detailed investment plans related to the integrated logistics center, and Gyeongsangbuk-do and Gyeongju City promised administrative support such as permitting procedures to ensure smooth progress of the investment plan.

In his greeting, Hyundai Mobis President Cho Sung-hwan said, “This investment in the new integrated logistics center is to promptly and accurately supply A/S parts to domestic customers using Hyundai Motor and Kia vehicles,” adding, “We will proactively respond to future car trend changes such as electrification and further strengthen customer service.”

The integrated logistics center, to be built in Myeonggye 3 Industrial Complex in Gyeongju, Gyeongbuk, is expected to be reborn as a large logistics hub integrating three existing Yeongnam region bases: Gyeongju Oedong, Naengcheon, and Gyeongsan. If related administrative procedures proceed smoothly, construction will begin early next year, with full operation planned by the end of 2024. The total investment is approximately 94.8 billion KRW.

Hyundai Mobis expects that the establishment of the Yeongnam integrated logistics center will enable smoother supply of A/S parts to about 17.6 million Hyundai Motor-Kia customers nationwide. The integrated logistics center will receive parts from 270 automotive parts manufacturers mainly in the Yeongnam region and distribute them nationwide. Hyundai Mobis is the responsible supplier of A/S parts for Hyundai Motor and Kia, operating four logistics centers and 22 parts offices nationwide, maintaining a nationwide supply network.

In particular, Hyundai Mobis plans to secure a dedicated site for eco-friendly vehicle parts within the integrated logistics center to respond to the growing demand for eco-friendly vehicles such as hybrid and electric cars. This is to fulfill the role of a stable A/S logistics hub in line with changing future automotive consumer trends such as electric vehicles.

The integrated logistics center will also be reborn as an advanced facility applying eco-friendly power generation systems and automation technologies. First, Hyundai Mobis plans to install a solar power generation system on the entire roof of the building. This is the first case of installing solar power facilities at Hyundai Mobis’s domestic business sites. As part of achieving the RE100 goal, Hyundai Mobis plans to convert 100% of the electricity used at its domestic and overseas business sites to renewable energy by 2040.

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