KG Mobility (formerly SsangYong)

SsangYong Motor Company was established in 1954. The company began its activities with the production of commercial vehicles. In 1988, SsangYong launched its own four-wheel drive SUV, the Korando Family. from this moment until today, the Korean company specializes in the production of all-wheel drive cars, in the sale of which it consistently occupies a high market share.

History

2024: Return to the Russian market under a different name

The Korean automobile brand SsangYong, renamed KG Mobility (KGM), announced the resumption of sales in Russia through the exclusive distributor of JSC REX Motors in the first quarter of 2025. This became known in early November 2024.

According to Autopilot, the company plans to present on the Russian market a line of crossovers and SUVs, including Tivoli, Korando, Torres models, Rexton frame SUV, electric versions of Korando and Torres EVX, as well as Musso and Musso Grand pickups.

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Фото: kg-mobility.com

General Director of REX Motors Vitaly Osipov announced plans to open car dealerships in all major cities of Russia. By November 2024, cars are undergoing certification, and a dealer network is being formed in parallel.

KG Mobility has a long history of presence in the Russian market under the SsangYong brand. From 2005 to 2015, about 175 thousand cars were sold in Russia, most of which were produced in the country.

In October 2024, KGM entered into a cooperation agreement with Chinese automaker Chery Automobile, involving the joint development of new models on Chinese platforms. The cars will be available with both full and front-wheel drive.

KG Mobility, formerly known as SsangYong Motor Company, rebranded in 2023. The brand's history on the Russian market began in the late 1990s with the supply of SsangYong cars, which quickly gained popularity due to the combination of quality and reliability of Korean production.

The return of the brand takes place in conditions of high competition in the segment of crossovers and SUVs in the Russian automotive market, but the company counts on the loyalty of buyers to the Korean automotive industry.^[1]

2020: Bankruptcy filing

On December 22, 2020, SsangYong filed for bankruptcy after the company failed to pay creditors (including Korea Development Bank, BNP Paribas, JPMorgan Chase, Bank of America) debts.

The company filed an application in a Seoul bankruptcy court to appoint an external manager as part of the bankruptcy proceedings. SsangYong shareholders at the meeting approved the appointment of an external manager. After this happens, the company will begin a large-scale restructuring, downsizing and frozen asset sales transactions.

Automaker SsangYong reports bankruptcy

By December 22, 2020, SsangYong remains part of the Indian concern Mahindra & Mahindra, whose management, due to the difficult financial situation associated with the COVID-19 coronavirus pandemic, refused to support SsangYong. In September, the 2020 concern announced its readiness to one way or another part of SsangYong's stake or part of it.

SsangYong's last hope remains an autonomous restructuring program from the South Korean Ministry of Trade (MoTIE). She postpones the court's decision and gives up to three months to negotiate with all interested parties, including creditors. The search for a buyer "is still ongoing," confirms MoTIE.

Daiwa analyst Chong Son Ep says SsangYong was a uncompetitive automaker even before the pandemic. According to the expert, if someone buys this company or invests in it, he is unlikely to receive any profit from such a transaction.^[2]

2018-2019

In Russia, the South Korean brand was represented by the Tivoli and Tivoli XLV crossovers, as well as the pre-styling Actyon. In 2018, the carmaker decided to leave the Russian market due to low demand. According to the Association of European Businesses, 21 cars were sold in 2019, which is 97% less than in 2018.

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