Renault Korea in talks to manufacture EVs at Busan plant

Renault Korea Motors, the South Korean unit of Renault S.A., said Thursday it is in talks with the South Korean government to manufacture electric vehicles at its sole Busan plant amid carmakers' accelerating electrification push.

Busan Mayor Park Heong-joon met with Renault Executive Vice President Guido Haak in Paris on Tuesday during his visit to France to help promote Busan's bid to host the World Expo 2030.

In the meeting, Haak said the French carmaker is planning to invest in the Busan plant, 320 kilometers southeast of Seoul, to produce 200,000 units a year of all-electric vehicles, a Renault Korea spokesman said by phone.

Renault Korea's Busan plant is an important manufacturing base for Renault Group. The group wants active support from South Korea's central government and the Busan city government, the Renault executive said in a statement released by the city of Busan.

The current production facilities in Busan are likely to be upgraded for the production of EVs, Renault Korea said.

Renault Korea currently produces three models -- the XM3 compact SUV, the SM6 midsize sedan and the QM6 SUV -- at the 300,000-unit-a-year plant in the southeastern port city.

Renault has a 52.82 percent stake in Renault Korea, while China's Geely Automobile Holdings and Samsung Card Co. hold 34.02 percent and 13.13 percent stakes, respectively.

From January to May, Renault Korea's vehicle sales fell 10 percent on-year to 57,550 units from 64,145 in the same period of last year. (Yonhap)