Hyundai Glovis sets up joint venture with Chinese logistics company
SEOUL, AJU - Hyundai Glovis, a logistics arm of South Korea's Hyundai auto group, established a joint venture with United Logistics, a logistics company based in China, in an effort to expand its logistics business in the world's largest auto market.
Hyundai Glovis said Monday that its Beijing branch would own 51 percent of the joint venture, with the remainder controlled by the Chinese partner which has been engaged in transportation, storage and export of finished cars with a focus on northeastern China. Customers include the Geely Auto Group, Great Wall Motors and GAC Motor
The joint venture called Jiangsu Gelian will be headquartered in Yancheng. Hyundai Glovis said that while focusing on the transportation of finished cars produced in China on exclusive trucks, the joint venture would also seek business opportunities in procurement and import-export logistics.
In May, Hyundai Glovis partnered with China's Changjiu Group to find new business opportunities and expand cooperation in local and global logistics businesses. The Chinese group is involved in the transportation of finished and uses vehicles. The two companies plan to develop new sea routes and expand their railway logistics business linking China and Europe.