Hyundai, Kia suppliers raked in $62 billion revenue in 2023
Published: 21 Jan. 2025, 18:29
Updated: 21 Jan. 2025, 18:33
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- CHO YONG-JUN
- [email protected]
![Hyundai Motor Group's headquarters in southern Seoul [HYUNDAI MOTOR GROUP]](https://koreajoongangdaily.joins.com/data/photo/2025/01/21/284db322-1011-4f5d-af56-b2404f46042d.jpg)
Hyundai Motor Group's headquarters in southern Seoul [HYUNDAI MOTOR GROUP]
The primary suppliers of Hyundai Motor and Kia recorded 90 trillion won ($62 billion) in revenue in 2023, higher than the 78 trillion won revenue Hyundai Motor achieved in the same year.
Hyundai Motor and Kia released a revenue analysis of its 237 top-tier vendors on Tuesday. The vendors included in the statistics are vendors that derive at least 10 percent of their sales from Hyundai Motor Group affiliates.
“The numbers show that the 237 vendors […] are continuously growing with Hyundai Motor and Kia and contributing to the Korean economy by making the Korean automotive industry more competitive,” the automotive giant said in a press release Tuesday.
The combined revenue of secondary and tertiary vendors totals 100 trillion won, the automaker estimated.
Revenue of suppliers and vendors increased drastically starting in the early 2000s — when Hyundai Motor and Kia also began expanding globally.
Suppliers’ average revenue, recorded at 21.1 trillion won in 2001, experienced a 326 percent increase.
Average revenue per vendor was recorded at 381 billion won, five times higher than the 73.3 billion won recorded on average in 2001.
Vendors of Hyundai Motor and Kia have also improved their debt ratio over the years, according to the statistics.
“Based on a long-term partnership, and through win-win programs, we are continually supporting our vendors,” the automaker said Tuesday.
“We are also helping out primary and secondary vendors in their overseas expansion as we build our factories in the United States, Europe, India, Brazil and Mexico.”
Hyundai Motor and Kia said the two companies had traded with vendors for 35 years on average, higher than the average 13.5 years recorded in the manufacturing industry.
BY CHO YONG-JUN [[email protected]]
with the Korea JoongAng Daily
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