Mobis gearing up for Hyundai Motor's rebound in China
Yoon Yeo-seong, head of Hyundai Mobis China, speaks by a conveyer belt linking its module plant to a Hyundai Motor manufacturing plant, during a press tour in Beijing, Friday. / Courtesy of Hyundai Mobis
By Jhoo Dong-chan
BEIJING, China ― A car has some 25,000 parts that need to be assembled, but it is almost impossible to put the parts together one by one. Automakers, therefore, assemble small parts into bigger pieces, or so-called “modules,” to maximize production efficiency.
Hyundai Mobis, an affiliate of the nation’s largest automaker, Hyundai Motor, is in charge of producing such modules, an important and fundamental assignment for the automaker’s production operation.
The world’s No. 6 automotive supplier’s operation is the same in China.
Only 50 meters from Hyundai Motor’s manufacturing plant, the Hyundai Mobis module plant in the capital Beijing produces and supplies three major modules ― chassis, driving seat and front end. The modules account for about half a complete car. The two plants are connected by a conveyer belt.
Yoon Yeo-seong, head of Hyundai Mobis China, told a visiting press group, Friday, that this year is crucial for Hyundai Mobis and Hyundai Motor.
“Last year, Hyundai Motor experienced a sales decline for the first time in China since it started sales operations here,” he said.
“The global auto market is approaching an inflection point with the introduction of eco-friendly and autonomous cars. Hyundai Mobis’ role will be very crucial for Hyundai Motor’s future competitiveness. We will do our best to contribute to Hyundai Motor’s rebound in sales here.”
Hyundai Mobis had 4.85 trillion in sales in China last year, a 7.4 percent surge year-on-year. It was the company’s best overseas sales performance, accounting for about 25 percent of total sales.
In 2002, Hyundai Mobis built its first plants in Beijing and Jiangsu ― where Hyundai Motor and Kia Motors have factories ― and started supplying major modules. It then built plants in Tianjin, Shanghai and Chongqing that produce the three major modules and safety devices like airbags.
Hyundai Mobis’ Tianjin plant also makes various automotive application components, including audio and safety systems.
A Hyundai Mobis official at the Tianjin Plant said they will soon supply these components to America’s GM and France’s Peugeot.