Renault Samsung makes China push

Home > Business > Industry

print dictionary print

Renault Samsung makes China push

Renault Samsung Motors outlined its strategy to expand exports in order to compensate for poor sales in the domestic market.

The local subsidiary of the France-based Renault SA said in a release yesterday that it would start delivering the SM7 luxury sedan to China in June. The car will be distributed in China through the parent company’s sales network under the name Renault Talisman. All of the SM7s delivered to China will be produced in Busan, where the company is based.

“We’re going to increase sales volume and develop new markets in a bid to expand exports,” said Francois Provost, chief executive officer of Renault Samsung, in a statement.

Robert Chan, managing director of Renault China, called the SM7 “casual luxury” as he introduced the vehicle during the Beijing International Automotive Exhibition on Monday.

In China, the QM5 sport utility vehicle, also known as Renault Koleos, the SM5 midsize sedan, sold under the name of Renault Latitude, and the SM3 compact, sold as Fluence, are distributed through Renault SA’s dealerships.

Carlos Ghosn, chairman and CEO of the Renault-Nissan Alliance, said in response to a question during the motor show on whether he thought China’s economy is losing steam that he expects it to continue to grow.

Renault SA has been expanding its sales network in China and the number of its dealers rose to 80 in the country recently. The company’s exports to China climbed from 6,688 units when it delivered the SM3 in 2009 to 28,307 in 2011. In the first three months of this year, it shipped 7,064 cars to the neighboring country.

Renault Samsung also said it would expand exports to India and Russia. The company began delivering the QM5 SUV and the SM5 in the form of half-finished products in May 2011. These vehicles are well received in Russia and the company anticipates a larger volume of exports in the future.

Since the company started exporting the SM3 compact under the Nissan brand in 2006, its exports have continued to grow and now account for half of Renault Samsung’s annual sales.

Renault Samsung also said it would increase the volume of exports to its existing market that covers Europe, the Middle East, Oceania, China and South America.

By Limb Jae-un [jbiz91@joongang.co.kr]

More in Industry

SK Telcom merges two security services subsidiaries

KDB requests sit-down with Asiana unions about takeover

Are you Taycan to me?

Facebook hit with $6 million penalty for customer data leak

Spinoff to give LG chairman's uncle his own conglomerate

Log in to Twitter or Facebook account to connect
with the Korea JoongAng Daily
help-image Social comment?
lock icon

To write comments, please log in to one of the accounts.

Standards Board Policy (0/250자)

What’s Popular Now