Welcome back to our special series on Southeast Regional Center, LLC (“SRC”).  So far in this series, we made several references to Ajin Industrial and its subsidiaries that have worked with SRC on projects over the years. 

In today’s article, we will spend a bit more time highlighting Ajin Industrial, a company publicly traded on the Korean exchange, and its unique position in the automotive marketplace.  We will point out aspects of Ajin Industrial’s business model and key customer relationships that have attracted previous investors so that you can use it as an example during your own EB-5 investment process.

Ajin Industrial Co, Ltd.

Ajin Industrial Co., Ltd. (“Ajin Industrial”), a company based in South Korea, has a rich history that reflects its growth and development in the automotive industry. Founded in 1976, Ajin Industrial has established itself as a key player in the manufacturing of automobile parts, particularly focusing on stamped metal car body parts (such as door panels, engine compartment aprons and more) on an original equipment manufacturing (OEM) basis.

The company’s unique skillset has enabled it to supply products as a critical tier 1 supplier to the Hyundai Motor Group (“HMG”).  These two firms have enjoyed a successful relationship for more than four decades, with Ajin Industrial providing stamped metal body parts to generations of vehicle models at different factories around the globe.  

The reasons behind Ajin’s success in the auto industry start with the company’s leadership, its culture and a hyper- focus on product quality and customer service.  Ajin Industrial is the best at its craft because of these internal core strengths. 

But Ajin Industrial’s remarkable growth must also be credited in part to the growth, financial health and reputation of its key account: Hyundai Motor Group. 

Hyundai Motor Group

Hyundai Motor Group’s history and success speak for itself.  Headquartered in Seoul, South Korea, HMG is a publicly traded multinational automotive manufacturer that owns the renowned Hyundai brand as well as a large stake in Kia Motors.  Aside from being a Fortune 500 Company and the third largest auto manufacturer in the world, HMG has positioned itself as a leading manufacturer of electric vehicles in the United States.  

The company’s push into EV, especially in the United States, is highly strategic as it aligns with the US government’s explicit goal of reducing carbon emissions and promoting the adoption of clean energy.  America signaled its resolve in this goal via the Inflation Reduction Act of 2022, which provides tax credits for electric vehicle purchases.  In response, Hyundai pledged more than USD 7.59 billion in the construction of its new EV Metaplant located near Savannah, Georgia, USA, with a commitment to further investment.

Ajin is a Key Supplier to Hyundai’s new EV Metaplant

Hyundai and Ajin Industrial’s business relationship takes supply chain dynamics to the next level.  Ajin Industrial has supplied Hyundai with critical parts for more than 40 years.  During that time, Ajin Industrial’s culture of professionalism, quality and customer service impressed Hyundai so much that they selected Ajin Industrial as the primary supplier of the stamped metal body parts necessary for the production of each Hyundai model.

In fact, the level of commitment and trust is so great that Hyundai is essentially reliant upon Ajin for the stamped metal body parts needed for its cars.  It would be extremely difficult for Hyundai’s factories to operate without Ajin’s specific inputs.  

Ajin has earned this trust and benefits from it, but the responsibility is two-fold.  

Hyundai’s production process is so precise, they ask Ajin Industrial to produce specific quantities of the parts just at the moment they are needed.  In manufacturing terms, this is called “Just-in-Time” and “Just-in-Sequence” inventory management, which means that Ajin essentially produces the amount required to satisfy Hyundai’s needs on-demand. 

In this way, the financial success of both companies are intertwined.  Hyundai is a key customer for Ajin Industrial.  At the same time, Ajin Industrial is a critical key supplier for Hyundai. Each company’s individual success and growth serves to promote the same for its counterpart.  

That is in large part why Hyundai has committed direct financial resources in support of Ajin Industrial’s growth, including its latest factory in Bulloch County, Georgia, which once again will be the primary supplier of stamped metal parts for Hyundai’s USD 5.5 billion EV Metaplant in nearby Bryan County, Georgia.

Key Take-aways

As you evaluate EB-5 investments currently available in the marketplace, be sure to ask yourself and the Developer the following questions:

What is the history of the Developer?

  1. What is their experience in this industry?
  2. What is their success story from a financial perspective but also a reputational perspective?

Who are the Developer’s key customers?

  • How important is this Project, and this product or service, to those key customers?
  • How easy is it, or will it be, for the key customers to switch between the Project and other competitors to satisfy its needs?

Even if these questions are answered in a satisfactory manner, we must examine the internal strength of the Developer in a much deeper format.  In the next Chapter of this special series, we will do so, always providing examples along the way.


The information provided here is not investment, tax or legal advice. You should consult with a licensed professional for advice concerning your specific situation. 

This article is educational and informational, and items including policy, program structures, financial models, feasibility studies, and other documentation may change without notification. 

Information prepared on electronic media such as PowerPoint, websites, blogs, WeChat, or other methods of delivery are often truncated and summarized to improve readability; details of any financial, tax or legal nature should only be addressed with a trusted licensed professional.