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South Korea Business Report

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Discovery Reports

Strong results seen for GMB Korea as automotive research and expansion intensify

Automotive parts developer hits sales targets with high-performance, high-precision parts for the world’s leading marques, and seeks partnerships in China

PUBLISHED : Wednesday, 25 October, 2017, 10:36am
UPDATED : Wednesday, 25 October, 2017, 10:36am

Automotive parts developer and manufacturer GMB Korea is expected to report solid financial results this year. Its WIND7000 strategic plan involves the achievement of 700 billion South Korean won (HK$4.9 billion) in sales, the internationalisation of its sales and procurement, and the promotion of future technology such as green energy and electric motors.

“GMB is setting the pace for the growth of the precision automotive parts industry,” says Byun Jong-moon, CEO and president, and a recipient of the Gold Tower Order of Industrial Service Merit – the highest award given by the Korean government and industry to outstanding businessmen for their significant contributions to South Korea’s national economy.

“Hitting our sales target, we press on to achieve 1 trillion South Korean won independent sales in 2020. It is a big challenge, but with constant innovation and creative competition, we continue to raise our competitiveness as we seal the trust and confidence of customers and suppliers.”

GMB develops high-precision and high-performance components for automotive engines and automatic transmissions. Whether standardised or customised, GMB automotive parts and bearings make cars quieter, more fuel-efficient, and last longer. As a result, GMB is a prime supplier to leading vehicle makers Hyundai, Kia, Renault, Peugeot, General Motors, Volkswagen and Chrysler.

There have been zero labour-management disputes at GMB for the past 38 years
Byun Jong-moon, CEO and president, GMB Korea

Regarded as a technological mecca for innovative precision automotive components, GMB’s research and development (R&D) centre yields products that consistently dominate the market. It is supported by a research fund that is equivalent to more than 10 per cent of GMB’s total annual revenue. To further strengthen its R&D, GMB is looking to collaborate with Asian and European universities for R&D and knowledge transfer.

GMB’s core products include the transmission part spool valve, GMB’s highest revenue earner, and a hydraulic pressure control component within an automatic transmission vehicle; the eco-friendly electric water pump, which is used in hybrid, electric and fuel cell vehicles; and the constant velocity joint, sought by clients Hyundai Wia, Peugeot, Seohan Group, GKN and Nexteer for its adaptable system.

Bolstering its international edge, GMB has established a global business network that seeks to expand its footprint and localise production. With plants and offices located worldwide, the company’s philosophy is based on harmony to unify its subsidiaries.

“We are proud to say that there have been zero labour-management disputes at GMB for the past 38 years,” Byun says.

Possessing unrivalled quality and price competitiveness to lead the Chinese automotive market, GMB seeks partnerships with market savvy and locally established Chinese companies that can actively support its expansion plans across China.

www.gmb.co.kr