December 03, 2008

Hyundai Motor may use Chinese steel in South Korea

Reuters reported that Hyundai Motor Co South Korea's top auto maker may consider using steel from Chinese producers for auto production at home to lower costs as raw material prices rise.

Mr Park Dong-wook director at Hyundai's treasury division told reporters and analysts when the company announced its first quarter earnings that "If Chinese steel is cheap and of good quality, we may consider buying steel from China."

He added that Hyundai does not yet use steel from China.

On April 18th 2008 its Chinese unit said it planned to increase the use of Chinese steel in its auto production to cut costs amid rising raw material prices.