Hyundai Motor embroiled in controversy over 'unfair' practice against smaller companies
Hyundai Motor embroiled in controversy over 'unfair' practice against smaller companies
  • Jung Se-jin
  • 승인 2018.10.19 11:53
  • 댓글 0
이 기사를 공유합니다

Rep. Je Yoon-kyung says, 'Hyundai Motor mobilized affiliates to pressure SMEs'
Rep. Je Yoon-kyung (left), Hyundai Motor Vice Chairman Chung Eui-sun (right)

There has been a series of allegations that Hyundai Motor Group is engaged in unfair practices against small- and medium-sized companies (SMEs). Some members of the political affairs committee demanded that Hyundai Motor Vice Chairman Chung Eui-sun explain the case as a witness.

During a parliamentary inspection of the Fair Trade Commission (FTC) held in the National Assembly on Oct. 15, many lawmakers criticized Hyundai Motor for unfair practices. 

Rep. Je Yoon-kyung of the ruling Democratic Party of Korea said, "Hyundai Motor is using its control over the existing bus market to force transportation companies to buy Hyundai electric buses, hindering the business of SMEs. Hyundai Motor is pressuring SMEs by mobilizing its affiliates." 

"Hyundai Motor is offering auto parts free of charge through Hyundai Mobis and easing the installment conditions of financing through Hyundai Capital, forcing SMEs to give up their plans to buy other companies' buses," Rep. Je said. 

Rep. Sung Il-jong of the Liberty Korea Party pointed out, "The operational profit ratio of suppliers to Hyundai Motor is just 1~3 percent, compared with 10~15 percent for Hyundai Motor and Hyundai Mobis. Also, the profit ratio is high at 11%, 14%, and 19 percent when we see a company that sells its own brand rather than supplying it to Hyundai Motor." 

Rep. Sung also argued that Hyundai Motor Vice Chairman Chung Eui-sun should explain this issue as a witness at the Parliamentary inspection.

삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • #1206, 36-4 Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea(Postal Code 07331)
  • 서울특별시 영등포구 여의도동 36-4 (국제금융로8길 34) / 오륜빌딩 1206호
  • URL: / Editorial Div. 02-578-0434 / 010-2442-9446. Email:
  • Publisher: Monica Younsoo Chung. Chief Editorial Writer: Kim Hyoung-joong. CEO: Lee Kap-soo. Editor: Jung Yeon-jin.
  • Juvenile Protection Manager: Yeon Choul-woong. IT Times Canada: Willow St. Vancouver BC, Canada / 070-7008-0005.
  • Copyright(C) Korea IT Times, Allrights reserved.