Renault Samsung Completes Survival with XM3... Signora CEO "Full Effort on Quality Response"

[Asia Economy Reporter Ki-min Lee] Renault Samsung Motors announced on the 10th that it will complete the survival plan set earlier this year through domestic and overseas sales of the 2022 XM3 (export name New Arkana).

Dominique Signora, CEO of Renault Samsung, stated at the 2022 XM3 media unveiling event held at a cafe in Yongin, Gyeonggi Province, "This year, we need to recover competitiveness that has declined due to reduced production volume and increased fixed costs." He added, "Other related departments, including the quality headquarters, are making every effort to respond to initial quality issues," and emphasized, "At the group level, we are providing full support by prioritizing the allocation of vehicle semiconductors and other parts to the Busan plant."

The XM3 produced at the Busan plant is a key model in Renault Samsung's survival plan. Facing a withdrawal crisis due to declining performance, Renault Samsung has been implementing the survival plan since early this year, which includes voluntary retirement and restructuring, expanding exports of the XM3, new car allocations, and reducing fixed costs. Accordingly, Renault Samsung began selling the XM3 in four European countries including France from March last month, and started sales in 28 European countries from this month.

With the launch of the XM3 in Europe, Renault Samsung's exports have rapidly increased. Last month, Renault Samsung exported 5,713 units, a 320.7% increase compared to the same month last year, with XM3 sales accounting for 4,247 units, or 74.3%.

Regarding concerns that ongoing strikes by some of Renault Samsung's four labor unions, which have delayed wage and collective bargaining agreements (wage and labor agreements) for over a year, could be detrimental to the company, CEO Signora said, "Strikes by a small number of people can damage Renault Samsung's image not only domestically but also in Europe, so a peaceful and positive labor-management relationship must be established." He added, "Since more than a year has passed without a wage and labor agreement, we plan to form a new agreement at the request of other unions."

This content was produced with the assistance of AI translation services.