South Korea’s largest auto parts supplier Hyundai Mobis Co. has completed construction of an automotive lamps factory in Mosnov, Czech Republic that is expected to help the company lower long-haul delivery costs and add new customers in the European market.
The company announced on Wednesday that it completed building the plant that commands an area of 54,000 square meters on a site of 190,000 square meters by spending about 140 billion won ($122 million). The facility has a capacity of producing total 1.5 million units of headlights and taillights a year, with 750,000 each.
The lamps manufactured in the facility will be supplied to Hyundai Motor’s plant in Czech and Kia Motors’ Slovakia plant, which are just two hours away from its new factory. Previously, it took more than a month for the company to ship domestically-produced lamps to the plants in Europe. Hyundai Mobis’ sister companies Hyundai Motor and Kia Motors are also its biggest customers.
The new plant will help the auto parts supplier significantly save costs and time for delivery. The enhanced accessibility would also improve the company’s competitiveness and boost orders in the region.
Lights are important components in overall vehicle design. Instant monitoring and management is also necessary as they are sensitive to humidity. This is why having a local lamp manufacturing site in an overseas market where major finished car makers are located is a plus to auto lamp makers.
Shares of Hyundai Mobis closed Thursday at 220,500 won, up 2.56 percent or 5,500 won from the previous session.
By Park Chang-young
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]