Renault Samsung Motors: the French group sells its South Korean subsidiary

The Renault group sells more than a third of the shares of its South Korean subsidiary to the Chinese giant Geely Automobile Holdings.

At the beginning of the year, Groupe Renault and Geely Auto announced that they were developing a new range of 100% electric cars specially aimed at the South Korean market. Today, through its subsidiary ‘Centurion Industries Limited’, the parent company of ‘Geely Auto’, dubbed ‘Geely Holding Group’, is now acquiring 34.02% of the shares of the South Korean subsidiary of Renault, Renault Korea Motors, also known as Renault Samsung Motors. This transaction to the tune of 196 million will be used, among other things, to finance the electrification plan adopted by the French manufacturer.

The Renault group and Geely will develop a whole series of fully electric cars for the South Korean market, but it doesn’t stop there. The two car giants will also work on the development of new hybrid cars and models with conventional heat engines. Manufacturers say they are investigating whether the newcomers can also be sold outside of South Korea. The cars to be developed should eventually be built from 2024 at the plant in Busan, South Korea.

It is worth proposing that the collaboration between Renault Korea Motors, or Renault Samsung Motors, dates back to 1994 when the joint venture was founded simply as Samsung Motors. Samsung Motors was then still a partnership with Nissan, since 2000 this joint venture received the status of a subsidiary of Renault. Renault Korea Motors currently sells the Zoe and Master with Renault logos in South Korea. The South Korean subsidiary also offers the SM6, QM6 and XM3, identical replicas of the Talisman, Koleos and Arkana.

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