Posted on 16 Jun 2025
South Korean steelmaker Hyundai Steel will start supplying automotive steel sheet to GM Korea from as early as September, Kallanish learns.
This means that Baosteel, China's largest steelmaker, will lose this customer.
The move is seen by the market as a strategy by the carmaker’s parent, American car manufacturer General Motors, to divest China from its supply chain amid the ongoing Sino-US tariff war.
According to South Korean media, the order represents an annual supply of 100,000 tonnes of automotive steel sheet.
On 28 May, GM Korea claimed it will dispose of non-core assets and directly managed service centres as part of its efforts to sustain operations amid sluggish sales.
In addition, the company plans to sell idle properties and facilities within its main Bupyeong plant, one of the only two plants in South Korea.
"Unlocking value from surplus assets and eliminating loss-making service operations are critical to supporting ongoing sustainability," says GM Korea chief executive Hector Villarreal.
Source:Kallanish
