Last year, the combined production of three mid-sized automakers—Renault Korea, KG Mobility (KGM) and GM Korea—fell below 700,000 units, reflecting weak performance. To rebound output, the companies are rolling out discount campaigns and new models from the start of the year.

According to the Korea Automobile & Mobility Association (KAMA) on the 30th, the three mid-sized companies produced 651,148 vehicles last year, down 8.8% from 714,175 the previous year. It was the lowest figure in the past three years.

The trio's production reached 707,798 units in 2019, then stagnated at the 400,000–500,000 level from the following year as weak sales, the chip crunch and labor disputes overlapped. However, it rebounded to 680,000 in 2023 and 710,000 in 2024.

At Grand Walkerhill in Gwangjin-gu, Seoul, on the 13th, Renault Group's executive vice president for design Laurens van den Acker explains the vehicle design during Renault Korea's unveiling event for its new flagship crossover model Filante. /Courtesy of News1

Among the three, Renault Korea saw the largest drop in output. Boosted by strong domestic sales of the compact SUV Grand Koleos, Renault Korea sold 52,271 units at home last year, up 31.3% from a year earlier, but exports fell 46.7% to 35,773 units. As a result, output plunged 24.5% from 111,577 units in 2024 to 84,185 last year.

GM Korea's domestic sales and exports both declined, leaving production at 460,826 units, down 6.7% from a year earlier. GM Korea builds the small SUVs Trax Crossover and Chevrolet Trailblazer in Korea for export to North America, where they are popular, but with no new models beyond those two, domestic sales have fallen for five straight years.

KGM produced 106,137 units last year, down 2.2% from a year earlier. Domestic sales fell 14.4% to 40,249 units, but exports increased, resulting in the smallest decline in output among the three. KGM targeted overseas markets in Latin America and the Middle East last year with the new Torres hybrid.

Renault Korea's mid-size SUV Grand Koleos. /Courtesy of Renault Korea

The three mid-sized companies are moving to recover sales from the start of the year with discount events and new model launches.

Renault Korea is discounting its flagship Grand Koleos by up to 4.2 million won. Customers who purchase the compact electric SUV Scenic E-Tech receive discount benefits worth 8 million won.

It also recently unveiled the new mid-large SUV Filante. Filante has begun mass production at the Busan plant and is slated for deliveries starting in Mar. Renault Korea plans to expand its export destinations to as many as 30 countries with Filante and Grand Koleos at the forefront.

GM Korea will expand zero-interest installment benefits and provide support such as fuel costs for customers who buy the domestically produced Trailblazer and Trax Crossover.

In the domestic market, KGM offers zero-interest installments if buyers prepay 50% of the vehicle price across all models. It also launched the Musso, which succeeds the Musso Sports that debuted in 2002 and was hugely popular. KGM expects exports to grow further with the addition of the new Musso, following the Torres and Korando that have enjoyed strong demand in Eastern Europe and the Middle East.

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