Hyundai Mobis establishing two production subsidiaries

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Hyundai Mobis establishing two production subsidiaries

Published: 18 Aug. 2022, 18:24

Logo of Hyundai Mobis. [JOONGANG PHOTO]

Hyundai Mobis is establishing two subsidiaries that will focus on the production, the auto parts maker said Thursday.

One subsidiary will produce modules, while the other will produce key components, such as airbags and lamps. Mobis will concentrate more on the development of technology.

Mobis is likely to acquire some 20 subcontracting companies for the plan.

They will be 100 percent owned by Mobis. The company’s board is scheduled to vote on the establishment of the subsidiaries in September, and the formation is planned for November.

“The establishment is our attempt to maximize the efficiency through splitting of production and future mobility ,” Hyundai Mobis said in Thursday’s statement. “Through this, we will form an agile management environment and will be taking preemptive steps in the fast-changing mobility paradigm.”

BY SARAH CHEA [[email protected]]