– Local production of automobile CBS in Europe strengthens competitiveness in terms of production cost and quality
– It is now possible to respond promptly to the situation on the ground, getting closer to the customer
– Securing a foothold for local production in Europe increases the likelihood of winning orders from overseas complete automobile makers
On December 17, MOBIS announced that the company has completed the construction of a production plant capable of producing 600,000 CBS (Conventional Brake Systems) a year in Slovakia. Thanks to investment of approximately 50 billion won the plant is now up and running with production working at full scale.
This 3,170㎡ (959 pyeong) plant was built on the module plant site in Slovakia which had been operated since 2005. It took one year and 7 months to complete a batch manufacturing system covering full range from processing to plating and assembly of CBS parts including calipers, drum brakes, boosters & masters and parking brakes.
CBS, a fluid pressure controller fitted to automobiles by default, is a device that decelerates or stops a running vehicle and it is made up of a booster & master, caliper and parking brake. Plus, as it is a basic part, it is essential in implementing the advanced Anti-Lock Brake System and Electronic Stability Control.
MOBIS used to deliver CBS that were produced at its Changwong Plant, Korea, by means of CKD (Complete Knock Down), to then assemble them at its MOBIS Slovakia Czech Module Plant for supply to its local Hyundai Motors and Kia Motors plants in Europe.
“With our local production system in Europe, we can now promptly respond to the local situation and conditions while strengthening our cost competitiveness through a reduction in distribution cost. We will secure prompt quality-response times and flexibility in production so that, consequently, we are able to strengthen our competitiveness through the localization of complete automobile production”, said Executive Direction Kim Cheolsoo, the head of MOBIS Parts Manufacturing Division.
As MOBIS has now established the key CBS production and direct supply system in Europe, Hyundai Motors and Kia Motors are able to promote measures to strengthen their own competitiveness in the European market. They are now able to easily reflect the needs of local customers through a system that also allows them to focus fully on quality through the stable supply of parts.
MOBIS expects not only to make a contribution to sharpening the global competitiveness of Hyundai Motors and Kia Motors, but also to obtain orders for CBS from European complete automobile makers, including Volkswagen, BMW and Renault. Indeed, extra points are on offer to bidders for overseas contracts who also run local production plants. Accordingly, MOBIS went through a plan to build an additional plant in preparation for obtaining orders from overseas complete automobile makers.
Meanwhile, MOBIS has supplied main modules to Kia Motors in Europe since 2006, through its module plant with an annual production of 300,000 modules in Slovakia. Plus, the same site also holds the module and parts plant, along with Kia Motors engine plant. At its European module plant, MOBIS mass produces chassis modules with engines, cockpit modules, FEM modules and key parts that include CBS as well as bumpers.
