Renault plans to build a new, full scale factory in South Korea dedicated to the production of electric vehicles (EVs) to meet growing demand for zero emission vehicles in Asia, according to reports citing a company official.
The French automaker, through its 80% owned local subsidiary Renault Korea Motors, plans to build a new facility with a production capacity of 200,000 EVs per year in Busan, on the site of its existing 250,000 units/year vehicle plant. The facility produced around 170,000 vehicles last year, of which 117,000 were exported, mainly to Europe.
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The news came from Guido Haak, vice chairman of Renault Group, during a meeting with Busan mayor Park Heong-joon in Paris this week. Park was in Paris as part of a delegation which included South Korean president Yoon Suk Yeol to support the country’s bid to host World Expo 2030.
Renault was expected to invest US$800m in the new factory with completion expected in 2026.
Haak said: “The Busan plant is an important production base for us. We will accelerate our transition to future vehicles through large-scale investments.”
