· Ssangyong authorized SNAM to produce Q200 pickup in Saudi Arabia
M&M's South Korea's Ssangyong Motor Co. has awarded a production license to the Saudi National Automobile Manufacturing Company (SNAM), allowing it to assemble the new pickup Q200 and ship it in the country since 2020.
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Recently, Ssangyong Motor signed a production license agreement with SNAM to allow SNAM to produce Ssangyong's new Q200 pickup truck in Saudi Arabia since 2020. SNAM plans to push the plant's annual production to 25,000 units. According to Ssangyong Motor, the deal will benefit South Korean suppliers. The deal will involve Jubail's Tier 1 automotive supply chain industry cluster, and Jubail is an industry in Saudi Arabia. city.
As a car company affiliated with the Saudi Arabian Safari Group, SNAM was created in response to the call of the Saudi Vision 2030, which is an important part of long-term planning to advance the country's automotive industry. SNAM has acquired construction land in Jubail with an area of ​​1 million square meters, half of which will be used to build an automobile manufacturing plant, and the other half will be allocated to local suppliers to build factories.
Choi Johng-sik, chief executive of Ssangyong Motor Co., said in a statement: "After signing a product license agreement with SNAM, we have a foothold in Saudi Arabia that will help drive global sales and growth," he added. The deal will help Korean suppliers gain access to Saudi Arabia.
Ssangyong Motor Co., Ltd. released its 2016 financial report earlier, with revenue of 3.63 trillion yuan (about 3.2 billion US dollars), a record high in nine years, mainly due to the increase in sales of South Korea's flagship compact SUV Tivoli. However, due to the lack of demand in emerging markets such as Russia, Chinese car companies have competed fiercely with them, and the company's overseas business suffered setbacks.
Ssangyong Motor has high hopes for trading with SNAM, hoping to help accelerate the growth of global sales.
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