- Establishment of local corporation in Saint Petersburg, the second largest city in Russia - Securing of bridgehead for construction market in Russia and full scale fortification of overseas business
AMCO, a subsidiary construction company of Hyundai Motor Group of Companies, is advancing into the Russian market, which is the newly rising petroleum superpower amongst the BRICs.
AMCO (Representative: Kim, Chang Hee; Cho, Wie Geon - www.amco.co.kr.) announced that the company recently established local corporation in Saint Petersburg in order to execute new construction of mass production plant with capacity for 100,000 vehicles of Hyundai Motors, which will be in full-scale operation by 2010 and to advance into the construction market as well as for medium to long-term development projects.
This corporation which was established through 100% equity investment by AMCO is planned to play core role in winning orders for public construction projects and plant construction projects in Russia in addition to construction of Hyundai Motor's manufacturing plant in Russia.
Accordingly, AMCO will now have 5th global overseas base following incorporation of local corporations in USA, India, China and Cambodia.
The Russian market has been undergoing high growth of more than 6% annually since 2002. In particular, Saint Petersburg, which is located on the inner aspect of Finland in the North-west region, is the second largest city in Russia with population of more than 4.6 million. It is a distribution center, which is also well-know at the core of 12 railway lines networks margining at the city as well as a harbor city.
Only 3 subsidiary companies of Hyundai Motor Group of Companies, namely Hyundai Motors, Distribution Corporation of Hyundai Mobis in Russia and Sales Corporation of Kia Motors in Moscow, have entered into the Russian market.
AMCO, on the other hand, is accelerating its overseas development projects this year, in addition to its advancement into Russian Market, including independently pursued composite resort and combined residential and commercial tower in the Vietnam and Cambodia market.
Accordingly, AMCO is planning to pursue ground breaking for development of comprehensive resort on 6.6 million ㎡ in the general regions of GIA river in Haiphong City, Vietnam at the end of May this year for the first time for a Korean company.
Through this, AMCO is planning to accomplish order valued at 400 Billion won this year through it 5 overseas corporations in Russia, Cambodia, USA, India and China.