HL Holdings Corp., the holding company of South Korea’s HL Group, has secured an exclusive deal to supply aftermarket parts for Jeep, Peugeot, and Fiat vehicles in Korea. This strategic partnership with Eurorepar Car Service, a multi-brand maintenance unit of Stellantis NV, positions HL Holdings to significantly expand its presence in the Korean auto parts market.
Currently, SK Networks Co. leads the Korean aftermarket imported auto parts market with 110 billion won ($80.8 million) in sales for 2023. HL Holdings, which recorded 73.8 billion won in sales last year, aims to surpass this figure and become the market leader by 2027. The company’s recent growth, more than tripling its sales since 2019, underscores its aggressive expansion strategy.
Aftermarket parts, which are often 30% cheaper than original equipment manufacturer (OEM) parts, are widely used in vehicles with expired warranties. HL Holdings supplies about 60,000 parts for 22 imported car brands, including Mercedes-Benz and BMW. With over 3.3 million imported vehicles registered in Korea, and more than 2 million expected to use aftermarket parts, the potential for growth is substantial.
In addition to its aftermarket parts business, HL Holdings has strengthened its fleet management services, opening a Fleet-ON center in Hwaseong that can house 1,500 cars. This center is expected to create significant synergies with its parts business.
HL Holdings, formerly Halla Holdings, was renamed in late 2022 as part of HL Group’s 60th anniversary rebranding. The conglomerate’s diverse portfolio includes affiliates such as HL Mando Corp., HL D&I Halla Corp., and HL Klemove, covering sectors from mobility to self-driving technology.
