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Renault Korea Motors loses 'Samsung' from its name

Published: 16 Mar. 2022, 15:46

The new logo of Renault Korea Motors [YONHAP]

Renault Samsung Motors is changing its name to Renault Korea Motors.

The replacement of the word "Samsung" with "Korea" is supposed to suggest a greater focus on the Korean market.

In 1994, Samsung established Samsung Motors, which was acquired by France's Renault in 2000 following the 1997-98 Asian financial crisis.

Renault agreed to include "Samsung" in the company name, and paid 0.8 percent in annual sales to Samsung. That contract ended in August 2020.

Renault Samsung Motors is 80.04 percent owned by Renault Group BV, a Dutch subsidiary of Renault Group. Samsung Card holds 19.9 percent. The remaining 0.06 percent is owned by Renault Samsung Motors' employee stock ownership association.

With the new name, Renault Samsung Motors said it will strengthen its lineup for the Korean market, especially in electric vehicles (EVs). Earlier the year, Renault signed a contract with Hangzhou, China-headquartered Zhejiang Geely Holding Group, the parent company of Volvo, to produce new vehicles, including hybrid models, at Renault Samsung's Busan factory from 2024.

Renault Samsung Motors sold 61,096 units in the Korean market in 2021, down by 36.3 percent on year.

BY SARAH CHEA [[email protected]]