POSCO International to supply auto parts to Vietnam's VinFast

SEOUL, Oct. 13 (Yonhap) -- POSCO International Corp., a South Korean general trading company, said Tuesday that it has signed a deal to supply half shafts to Vietnamese startup VinFast next year for its first electric vehicles.

The auto parts to be built by Erae Automotive Systems Co., a small South Korean auto parts company, will be used in about 100,000 vehicles of the electric vehicle startup backed by Vietnam's largest conglomerate VinGroup, according to POSCO International.

A half shaft is an auto part that transmits engine power from the transmission to wheels.

It marks the first time that POSCO International has clinched a deal to supply auto parts to VinFast, a move POSCO International officials say could help expand its business in the Southeast Asian country.

POSCO International is an affiliate of South Korean steel giant POSCO.

entropy@yna.co.kr
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