South Korean automaker KG Mobility (KGM – formerly SsangYong) has agreed to set up a vehicle assembly plant in Algeria, as the company continues to step up its overseas expansion to offset strong competition in its home market.

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According to local reports, citing an “industry insider,” the plant in Algeria will be built in partnership with local distributor Emin Auto, which also distributes vehicles for Chinese automaker JAC Group. The facility will have a production capacity of 10,000 vehicles per year, including the Musso pickup truck and the Torres SUV.

The factory is expected to begin assembly of completely-knocked-down (CKD) kits next year, supplying vehicles to the domestic market and for export to other markets in the region.

KGM has adopted a diversified global market strategy, with a strong focus on emerging and developing markets. The automaker has a number of local and regional assembly operations overseas, including in Saudi Arabia where it has a partnership with local firm Saudi National Automobiles Manufacturing Company (SNAM) – targeting markets across the Middle East. It also has operations across Asia, including a partnership in Vietnam with Kim Long Motors, and in South America.

KGM reported a 2% rise in global sales to 91,905 units in the first ten months of 2025, with domestic sales falling by over 16% to 34,469 units while overseas sales increased by 18% to 57,436 units. It recently entered into a global partnership with China’s Chery Automobile Company, giving it access to readily available vehicle platforms and new energy vehicle (NEV) technologies.

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