Jeonbuk's 'Automotive Replacement Parts' Set to Export to Vietnam

The Next and AP Solution Sign $3.7 Million Contract
First Domestic Certification System Boosts Global Market Trust
"Expect Activation Through Diversification of Export Markets Following the US"

Automotive alternative parts produced in Jeonbuk Special Self-Governing Province are set to make their first export to Vietnam.

Jeonbuk Province announced on the 6th that on the 25th of last month, local quality-certified parts manufacturers The Next Co., Ltd. and AP Solution Co., Ltd. signed an export contract worth $3.7 million with VIET HAN SHOWROOM COMPANY in Vietnam.

On the 25th of last month, The Next Co., Ltd. and AP Solution Co., Ltd., quality-certified parts manufacturers in Jeonbuk Province, signed an export contract worth 3.7 million dollars with VIET HAN SHOWROOM COMPANY in Vietnam.
[Photo by Jeonbuk Province]

The province has led the global market development of the quality-certified parts industry and successfully facilitated entry into the Vietnamese market. This contract marks the first entry of Jeonbuk’s alternative parts industry into the Vietnamese market. The Next Co., Ltd. will supply 3,000 units of 3 types, and AP Solution Co., Ltd. will supply 2,000 units of 2 types of quality-certified parts. Quality-certified parts are products that have received national certification as 'alternative parts' with performance and quality equal or similar to genuine parts but at a lower price.

This export is the second overseas market development following the United States. It is regarded as an important achievement demonstrating Jeonbuk’s global competitiveness in alternative parts with quality and economic efficiency. Jeonbuk’s alternative parts industry began after the closure of the GM Korea Gunsan plant in 2018 to strengthen the self-sustainability of the local parts industry and overcome economic crises. Since 2019, quality certification support has been promoted for alternative parts companies, resulting in the development of a total of 37 quality-certified parts by this year, expanding domestic and international sales channels.

Based on these achievements, the province plans to foster the alternative parts industry as a new growth engine and support local companies in establishing a full-cycle alternative parts system in line with global demand.

Last year, the province enacted the 'Alternative Parts Certification System Special Act' and is currently working on revising ordinances to designate its own certification body and introduce a certification system based on this. If Jeonbuk’s independent certification system is introduced, local companies are expected to stably establish the entire cycle from development, production, certification, to export of alternative parts.

The alternative parts certification system is a framework where certification bodies designated by the Ministry of Land, Infrastructure and Transport evaluate and certify alternative parts with quality and performance similar to OEM parts. Through this, certified products trusted by consumers are growing, ranging from exterior parts (bumpers, fenders, etc.) to functional consumable parts (air filters, engine oil, etc.).

To this end, the province plans to establish the nation’s first independent certification body to guarantee the quality of locally produced products and further strengthen support for overseas market entry.

O Taek-rim, Director of the Future Advanced Industry Bureau of Jeonbuk Province, emphasized, "This export contract is the result of Jeonbuk nurturing the automotive alternative parts industry as a new growth engine. With the Jeonbuk-type alternative parts certification system, the first introduced among domestic local governments, we will enhance trust in the global market and devote all efforts to completing the entire ecosystem from development to export."