Last year, the Mahinda & Mahindra Group got subsidiary of the South Korean auto manufacturer, Ssangyong Motor Company (SYMC). The Indian auto giant currently holds 70 per cent of shares of SYMC and it is the fourth largest auto manufacturer in South Korea. In past one year with the $144 billion Mahindra Group, the South Korean automaker has displayed stunning growth and improvement. With the Indian auto maker’s backup, SYMC rose from bankruptcy and achieved its goal to be ‘the Most Innovative and Respected Korean Automotive Company’.
Commenting on the success of collaboration, President and CEO of Ssangyong Motor Company, MR Lee Yoo-ill said, “Over the past one year we have implemented a focused growth strategy for Ssangyong, along with Mahindra. This includes articulating a new vision and mid to long term strategy, establishing a strong, cooperative relationship with all stakeholders, labour union, vendors, and dealers, and launching new versions of the Chairman H, Chairman W and the Korando Sports. Ssangyong is on the path to a strong revival as witnessed by a nearly 40% growth in sales volumes in 2011.”
“Since last March, we have committed to investing over Rs. 1780 crores (KRW 400 billion) in a new SYMC product portfolio and facilities (including a Rs. 1317.20 crores (KRW 296 billion) investment in a next generation compact CUV and a new engine) to gain momentum in global markets. We are also looking forward to introducing Ssangyong products in the fast growing Indian market,” said Dr. Pawan Goenka, Chairman, Ssangyong Motor Company and President, Automotive and Farm Equipment Sectors, Mahindra & Mahindra Ltd.
Apart from registering growth, the Ssangyong Motor Company has achieved several milestones in the past one year. SYMC nominated a Board of Directors with great experience and credibility, comprising 50% independent directors, and is committed to set the highest standards of corporate governance. Moreover, Ssangyong is the fourth leading automaker of Korean and was one of the first local companies to complete 2011 wage negotiations with its Union in the most cooperative manner.
While the Korean automaker is expert in passenger carrier sectors including, SUVs, Pick-up Trucks and Vans, it staged alongside Mahindra at the 2012 Auto Expo held in Delhi. Mahindra South Africa, a unit of the Mahindra & Mahindra Group, will be delivering the Mahindra vehicles soon. The Indian auto giant is providing sufficient ground for the Korean automaker to grow and develop independently in departments including R&D, technology, sourcing and overseas markets.