CBI Continues Export Expansion with BorgWarner Global and Daimler Trucks

The automotive parts division, a core business of CBI, a KOSDAQ-listed company, continues to expand its overseas export ratio despite a slowdown in customer demand due to the ongoing global economic downturn.

Since last year, CBI has been mass-exporting parts used in Chrysler Dodge and Jeep vehicles exclusively to BorgWarner in the United States. In late August, the company signed a contract to supply the same parts to BorgWarner's Mexico subsidiary, with full-scale exports commencing in November.

For this single part alone, annual sales of approximately 3 billion KRW are expected. Considering the final application vehicle models and demand trends for the related parts, stable market share and solid profitability are anticipated for several years.

CBI’s subsidiary, Cheongbo Industry, is supplying high-performance engines (HDEP) and MDEG parts (11 types of Bearing Journals) that meet advanced emission regulations to Germany’s Daimler Truck AG and the United States’ Detroit Diesel Corporation, as well as turbocharger parts (2 types of BASE PLATES) for the upgraded version of the existing HDEP line, called the ‘HDEP2020’ engine platform.

A representative from Cheongbo Industry stated that they plan to operate the production lines for these parts at full capacity next year as well, focusing on productivity improvements.

CBI’s company officials explained, "Besides the main products mentioned above, other key items such as TAPPET and INJECTOR have been developed through long-term partnerships with global automakers, based on the company’s accumulated know-how and technological expertise over its long history." They added, "With export volume already exceeding half of the consolidated product sales, we expect continued strong performance as demand increases due to U.S. interest rate cuts." The official further stated, "Next year, we will also show tangible results in the mineral resources business sector."