Mando to furnish GM with steering, braking parts

Korean auto components manufacturer Mando said yesterday that it signed a $520 million deal with General Motors as part of its efforts to secure more overseas customers.

The agreement calls for Mando to supply steering and braking-related parts to the U.S. carmaker.

Parts to be shipped to GM also include hydraulic steering systems and the so-called rack-assist electric power steering (R-EPS) that was first developed by the local company in 2009.

Mando is the fourth company in the world to make the steering system for large cars.

“The deal highlights growing global competitiveness of the company’s vehicle parts,” a Mando executive said.

In the past, the company sold anti-lock braking systems and electronic stability controls to GM.

The latest agreement comes as Mando is moving to export parts to foreign companies such as PSA Group, Renault SA, BMW and Nissan Motor.