Samhyun: Building a Global Motion-Control Platform Around its Own Motor, Reducer and Controller

Could you tell us about the company’s origins and how your market strategy has evolved?

Samhyun began as part of the Hyundai group. At the time, we did not even imagine operating on a global scale. Our early strategy was straightforward: we focused exclusively on supplying actuators to Hyundai. For twenty years we guaranteed quality and product development, and that focus brought consistent success.

But the industry has changed dramatically. The shift to hybrid and electric vehicles has transformed Hyundai’s own strategy and supply chain, and we have adapted alongside them. By focusing deeply on Hyundai and Kia we have been able to grow steadily. Now, however, the global economy and the value chain are changing again. This year in particular feels like a turning point.

You mentioned that this year is a turning point for Samhyun, what do you see as opportunities?

Until now we have supplied very specific parts, powertrain components for Hyundai or Kia. They traditionally encouraged suppliers to specialize narrowly. For example, if a company made powertrain components, it was expected to remain in that field. That focus created stability but also limited growth.

Now, as the market moves from internal-combustion engines to hybrids and full EVs, Hyundai and Kia are opening new areas to trusted suppliers. Because Samhyun has an exceptionally low failure rate, just five or six parts per million, combined with reliable pricing and perfect on-time delivery, Hyundai and Kia trust us. They are inviting us to expand into areas like braking systems, steering, and heat exchanger. This creates entirely new growth opportunities.

The automotive industry is undergoing a triple transformation: moving from internal combustion to hybrid and electric power, reducing the number of components, and using lighter materials. Could you elaborate on how Samhyun is addressing each of these trends?

We anticipated this shift early. Our three core technologies, motors, reducers, and controllers, are developed by engineers who work as integrated teams. That structure lets us adapt quickly as vehicles become lighter and more electrified.

Forty percent of our workforce is devoted to R&D, and we invest 10–15 percent of annual sales back into research every year. For the past decade we have consistently set aside 3–4 percent of sales specifically to prepare for the future of eco-friendly cars. We already produce actuators for hybrid vehicles and have developed electric compressors for EVs, products that previously only major multinationals like Valeo or Mahle could supply.

Our strategy is to concentrate on components, motors and control units, that remain essential whether a vehicle is powered by gasoline, hybrid, or pure electric systems. Components such as dual-clutch transmissions evolve into electric drive units under different names, but their fundamental functions endure. That is why global automakers, including German OEMs, have recently approached us for collaboration.

Development cycles in the automotive industry are accelerating rapidly, with Chinese manufacturers setting new benchmarks for speed. How does Samhyun combine rapid response with high quality to support global customers?

Speed and quality are indeed critical. When we were asked to develop a motor for an electric compressor, we responded with solutions almost immediately and delivered A-samples in record time, all while meeting stringent quality requirements. This ability to combine fast engineering with precision manufacturing is a hallmark of Korean companies and a major reason we were selected over lower-cost Chinese competitors.

We have also strengthened our international presence. On the one side, we have reinforced our communication and engaged directly with customers within the United States and Europe by establishing a sales organization in these regions. And on the other side, we built a factory near Chennai in India, and we will start mass production in November in our newly opened Chinese plant, to offer better price products. This network allows us to meet cost and logistics demands while serving customers in markets that expect top-tier technology and quality.

Samhyun was born in 1988, and the investment in capex has been tremendously accelerated recently. The investment done within the last 3 years are higher than the investment made in the previous 35 years, combined. We see immense opportunity in global markets, and our investments in India, China, and new overseas sales offices reflect that belief.

Last year we also completed an IPO to strengthen our capital base. This has enabled mergers and acquisitions aimed at the future of mobility, such as our investment in EV Solutions and in a company developing autonomous-driving, AI-based software.

Those acquisitions go beyond your traditional hardware which actuator makers are usually bounded to. What is the strategic thinking behind them?

Our strength lies in integrating motors, reducers, and controllers to create complete motion systems. Whether in electric vehicles, robotics, or defense equipment, these core technologies remain central.

The robotics field uses the same core mechanisms as automotive actuators, only scaled and controlled differently. By acquiring a software company, K-SLAB, we gained the “brain” to complement our mechanical “muscle,” enabling us to create precise, compact robotic modules. My long-term dream is to build mobile and humanoid robots, and these acquisitions give us the software and motion-control capability to do so.

When we talk about collaborative robots, the modules must be very compact, high precision, and light weight. How do you able to convert the technology you already have for automotive to fit the robotic industry?

We believe that the structure of actuators is the same as that of mobility actuators. Therefore, advancing in robotics is not necessarily more difficult — it’s simply a matter of integrating the right tools, such as the software we have acquired through M&A activities.

In the defense sector, for example, we have applied our expertise in mobility actuator technology for over a decade. Korea’s transition from hydraulic “Defense Innovation 2.0” systems to electric “Defense Innovation 4.0” systems has suddenly created strong demand for the very technologies we have been quietly developing.

My dream is to create a 3-in-1 product that combines a motor, reducer, and controller for all our target industries.

Your products involve complex motor and power-control technologies. Could you give readers a sense of the technical depth, such as your work with cycloid and planetary reducers, silicon-carbide and gallium-nitride power devices, and how these strengthen your competitiveness?

Our competitiveness is built on mastering all three essential motion-control elements: motor, reducer, and controller. We produce multiple reducer types, planetary for defense, harmonic for robotics, and a proprietary crown reducer for next-generation applications. In power electronics we have advanced capabilities with silicon-carbide (SiC) and gallium-nitride (GaN) semiconductors, as well as high-precision magnetic-array rotor designs.

This breadth allows us to tailor compact, high-efficiency solutions for demanding uses such as advanced air mobility, humanoid robots, and high-load electric drivetrains. Few companies our size can integrate these technologies in-house, and this is a key reason global OEMs seek us out.

You often emphasize the role of your people and the ‘smart factory’ approach. Could you share your management philosophy and how you are preparing Samhyun for a more automated future?

I believe deeply in the capabilities of our engineers. Even though we are not a large conglomerate, our R&D talent is world-class. Four years ago we began building a data-driven “lighthouse factory” to capture production data and teach other small manufacturers how to create software-defined factories.

Looking ahead, I see the factory itself evolving into a robot. After a two-step transition, operations will require minimal human intervention. By combining Korean, Japanese, and Chinese technological strengths and strengthening our supplier network in China, we plan to narrow the robotics gap with global leaders and ultimately build fully robotic factories.

Looking ahead to 2028, which will be a major anniversary for Samhyun, what achievements would you like to share with us when we meet again?

By 2028 I want Samhyun to be recognized not only as an automotive innovator but as a key player in defense and robotics. In defense, we aim to expand from a single product line to five, supplying complete systems for land, naval, and air applications, including advanced drones and autonomous strike technologies.

In robotics, we plan to present fully developed mobile and humanoid robots, supported by an integrated manufacturing ecosystem. We are already preparing a new factory, about 1.5 times larger than our current site, to house these advanced operations.

When we listed our stock last year at 10,000 won, I promised to double the price within a year, and we achieved that. My next goal is to reach 50,000 won. I intend to keep that promise as well.

In short, by 2028 I expect to welcome you back to a Samhyun that has fulfilled its vision of moving from a respected small giant to a true global champion in motion control, robotics, and defense.

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