KG Mobility stakes growth on hybrids, EVs in partnerships with BYD, Chery

KG Mobility Chairman Kwak Jea-sun speaks during a press conference unveiling its business strategies at the company’s manufacturing facility in Pyeongtaek, Gyeonggi, on June 17. [KG MOBILITY]

 
KG Mobility will deepen its ties with Chinese automakers like BYD and Chery Automobile in a bid to offer alternative electric options like hybrids and extended-range EVs at “reasonable prices.”
 
The Korean automaker on Tuesday announced its future business strategies, which included a plan to launch seven new cars, all either hybrid or fully electric, by 2030.
 

KG Mobility’s Torres EVX, the electric version of the hit Torres SUV [KG MOBILITY]

 
The lineup includes the SE10, a hybrid full-size SUV that has been under co-development with China’s Chery Automobile, and the KR10, the successor to the Korando mid-size SUV. The Korean automaker currently uses batteries from BYD for its Torres EV and hybrid.
 
KG Mobility also said it will launch a «multipurpose vehicle,» or minivan, to get a slice of a market currently dominated by the Kia Carnival.
 
“With closer collaboration with BYD and Chery, KG Mobility looks forward to shortening development timelines and reducing costs,” said Kwak Jeong-hyun, chief strategy officer at KG Mobility, during a press conference at the company’s manufacturing facility in Pyeongtaek, Gyeonggi, on Tuesday.
 
“After the Covid-19 pandemic, car prices have been on the rise, inevitably leading customers to turn to secondhand vehicles or even give up on purchasing altogether,” Kwak added. “KG Mobility’s strategic goal, and the direction we must pursue, is to provide options at reasonable prices.”
 
KG Mobility will also strengthen its global sales, especially in the European market, setting an annual sales goal of 40,000 units this year.
 
It opened a sales subsidiary in Germany last year, and plans to open one in Dubai in August. The automaker currently exports cars to 73 countries, and seeks to increase that to 98 within the year.
 

KG Mobility Chief Strategy Officer Kwak Jeong-hyun speaks during a press conference unveiling its business strategies at the company’s manufacturing facility in Pyeongtaek, Gyeonggi, on June 17. [KG MOBILITY]

 
“It has been three years since KG acquired SsangYong Motor and rebranded it as KG Mobility, and during that time, we have focused on diagnosing what was lacking,” said KG Mobility Chairman Kwak Jea-sun. “Now that that phase is over, it’s time to begin treatment. A thorough diagnosis promises effective treatment.”
 
KG Mobility, previously known as SsangYong Motor, turned to profit in 2023 for the first time in 16 years after KG survived an 18-month-long court-led debt restructuring. The Torres SUV was a big hit, but the automaker swung to quarterly operating losses again in the third quarter of last year, hit by low car sales and a lack of hybrid options.

BY SARAH CHEA [[email protected]]