How Hyundai's financial problems help

摘要

Hyundai group companies now find it difficult to obtain ordinary letters of credit, and are looking for other ways of financing trade. Hyundai Pipe, which depends on imports of 1.8m tonnes of mainly Japanese HR coil to maintain CR output, is particularly vulnerable. If its output falls, it will affect supplies to Hyundai Motor, which obtains around 40 percent of its CR coil requirements from Hyundai Pipe. Normally it also buys some directly from Japan.