Global Company Hyundai Mobis to Build Integrated Logistics Center in Gyeongju with 94.8 Billion KRW Investment

Joo Nak-young, Mayor of Gyeongju City (left in the photo), Cho Seong-hwan, CEO of Hyundai Mobis, and Lee Cheol-woo, Governor of Gyeongbuk Province (far right in the photo), are holding up the investment memorandum of understanding certificate.

[Asia Economy Yeongnam Reporting Headquarters Reporter Koo Dae-sun] Gyeongbuk Province and Gyeongju City have succeeded in attracting the integrated logistics center of Hyundai Mobis, a global automotive parts specialist company.

On the 10th, Gyeongbuk Province and Gyeongju City signed a Memorandum of Understanding (MOU) with Hyundai Mobis at the Gyeongju City Hall main conference room to establish an integrated logistics center in the Yeongnam region.

About 20 people attended the event, including Lee Cheol-woo, Governor of Gyeongbuk Province, Joo Nak-young, Mayor of Gyeongju City, Cho Sung-hwan, CEO of Hyundai Mobis, and members of the Gyeongju City Council.

Hyundai Mobis will invest a total of 94.8 billion KRW from this year until 2024 to establish the Yeongnam region integrated logistics center on a site of 80,972㎡ in the Myeonggye 3 General Industrial Complex in Gyeongju City.

The newly established integrated logistics center will efficiently and stably supply domestic vehicle A/S parts in response to future automotive environmental changes such as the increase in electric vehicle demand. It will also be reborn as a large-scale logistics hub integrating three existing Yeongnam area hubs?Gyeongju Oedong, Naengcheon, and Gyeongsan?applying eco-friendly systems and automation technologies as an advanced logistics base.

Furthermore, the Yeongnam region integrated logistics center will receive parts from 270 automotive parts manufacturers scattered throughout the Gyeongju area and distribute them nationwide.

Hyundai Mobis operates as the responsible parts supplier for Hyundai Motor Company and Kia, running four logistics centers and 22 parts business offices nationwide in South Korea.

The newly established Yeongnam region integrated logistics center will also prepare a dedicated site for eco-friendly vehicle parts within the center to keep pace with the expanding demand for hybrid and electric vehicles.

This is to fulfill the role of a stable logistics hub in line with changes in future automotive consumption trends such as electric vehicles, and it is expected to play a significant role in the future electric vehicle parts cluster project in Gyeongju City.

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

Joo Nak-young, Mayor of Gyeongju City, said, “We thank Hyundai Mobis CEO Cho Sung-hwan and employees for deciding to make Gyeongju the hub of the Yeongnam region integrated logistics center and creating jobs through large-scale investment,” adding, “Gyeongju will continue to develop as an optimal investment destination for automotive parts companies by expanding related support projects to make it a city favorable for business.”

Lee Cheol-woo, Governor of Gyeongbuk Province, urged, “Hyundai Mobis, as an anchor company in regional automotive parts manufacturing, should lead co-growth with related companies and make great efforts for regional development.”

Hyundai Mobis, an affiliate of Hyundai Motor Company, was established in 1997 and produces automotive parts and containers, achieving annual sales of 41.7 trillion KRW, ranking sixth worldwide as an automotive parts company.

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