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.
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.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData