Hyosung Chairman Cho Hyun-joon met with Mexico’s President Andres Manuel Lopez Obrador on Wednesday to discuss business cooperation, including a rural automated teller machine project, which is the core welfare policy of the administration, the Korean firm said Thursday.

The meeting held at the National Palace of Mexico comes after Hyosung’s information technology affiliate, Hyosung TNS, was awarded a contract from the Mexican government for 8,000 ATMs worth 203 billion won ($175 million), which are needed for the nation’s rural ATM project. 

During the talks, Cho showed his appreciation for getting an opportunity to participate in the large project and also expressed a strong willingness to actively participate in power infrastructure and renewable energy projects to contribute to the nation’s economic development.

“I was deeply impressed by the Mexican government’s people-first policies and philosophy. This rural ATM project will be an important opportunity for Hyosung Group to fulfill its corporate social responsibility beyond profits,” he is reported to have told the president.

In reply, Obrador said the nation plans to “closely work together with Hyosung for the success of the ATM project.”

Mexico, the world’s 15th largest economy by gross domestic product, provides welfare subsidies to 20 million people, which is around 17 percent of the total population. But 75 percent of the country is in the blind spot of financial services and welfare subsidies have not been properly delivered to the vulnerable. The Mexican government has been pushing for a rural ATM project which distributes welfare cards so that beneficiaries can get direct cash delivery.

Cho has been in command since early 2018 and has successfully won orders by expanding operations in Mexico, according to the company.

Hyosung TNS has secured a stable position in the market by bagging the order to deliver 8000 ATMs by end-2020, expanding its market share from the current 2 percent to 15 percent. It ranks first in the US ATM market with 46 percent market share this year, the firm said. 

By Shin Ji-hye (shinjh@heraldcorp.com)