Ssangyong’s importer and distributor in China said the South Korean car manufacturer could set up a manufacturing plant in the country if sales there rise to 50,000 vehicles annually, up from an expected 20,000 this year.
Pang Da Automobile Trade, the sole agent for Ssangyong in China, and one of the country’s largest dealers, added such sales figures could be achieved by 2017, having jumped from just 6,300 last year.
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Ssangyong chief executive Lee Yoo-il had raised the possibility of a joint venture plant in China last month according to Pang Da investor relations Wang Yue. No further details were given and a spokesman for Ssangyong, owned by Mahindra & Mahindra, said it was too early to discuss any potential partnerships in China.
Ssangyong was saved from near insolvency by M&M in 2011 and, prior to that partly, owned by China’s SAIC (a GM and VW partner) which sold its stake following the financial crisis of 2008.
Ssangyong is spending nearly US$1bn on its product line as part of a plan to boost sales in the US and Asia.
