Hyundai Glovis gets into trucking in the U.S.Hyundai Glovis started a U.S. subsidiary specializing in land transport.
Global Expedited Transportation (GET) was established through the logistics company’s U.S. corporation, Glovis America. GET’s first delivery truck started operating Wednesday in Bloomington, California, where the new subsidiary is headquartered.
Hyundai Glovis said it started the company to directly deliver auto parts in the United States and to expand its overall land transport business. The subsidiary will start by transporting goods from western parts of the United States to eastern parts using trucks.
After auto parts arrive at the port of Los Angeles, trucks will deliver them to auto factories roughly 3,500 kilometers (2,175 miles) east, Hyundai’s logistics arm said. The journey takes roughly 54 hours.
The company did not detail which factory was being supplied, but Hyundai Motor operates an auto factory in Alabama and Kia Motors has one in Georgia.
The company said it is hoping to get orders from companies needing to send cargo west so its trucks don’t run empty on their way back from the east.
GET will canvass Korean companies with bases in the eastern United States to win new orders. It is capable of delivering not only auto parts but also electronics devices and raw materials like plastics and textiles.
According to Hyundai Glovis, truck transport accounts for roughly 80 percent of the logistics business in the United States, far more than air, rail or ships.
The annual truck transport market is roughly 726 trillion won ($622.8 billion), the logistics company said.
BY KIM JEE-HEE [email@example.com]