Three Mid-sized Car Companies Achieve Success in Niche Markets Amid Slump

Ssangyong and Korea GM Show Strong Performance in Pickup Trucks... Renault Samsung's QM6 Also a 'Profit Maker'

[Asia Economy Reporter Yu Je-hoon] The three mid-sized automakers in South Korea?Korea GM, Renault Samsung Motors, and Ssangyong Motor?struggling with sluggish domestic demand, are drawing attention for achieving meaningful results in niche markets such as pickup trucks and eco-friendly vehicles.

According to the industry on the 20th, Korea GM’s imported pickup truck model, Chevrolet Colorado, sold a total of 3,754 units last year, ranking first among imported pickup trucks. Colorado also achieved the distinction of being the only pickup truck to make it into the top 10 imported cars annually.

The domestic pickup truck market is a representative niche market with an annual sales volume of only 30,000 to 40,000 units. Although it has not gained much popularity in the domestic market, outdoor demand such as car camping (camping using vehicles) surged after the COVID-19 pandemic, leading some brands to fiercely compete in this market.

Ssangyong Motor, which is facing management difficulties, is also benefiting from its pickup truck models, Rexton Sports & Khan. The cumulative domestic sales of Ssangyong Rexton Sports reached 25,813 units, accounting for nearly 50% of Ssangyong’s total sales (56,363 units). Currently, there is a backlog of about 3,000 units of Rexton Sports & Khan waiting to be delivered.

Renault Samsung’s mid-size sports utility vehicle (SUV) QM6 stands out with its strong performance. This is because it is the only domestic mid-size SUV based on liquefied petroleum gas (LPG). In fact, the cumulative sales of QM6 last year were 37,747 units, exceeding half of the total sales (61,096 units). About 60% of these are reported to be LPG models. The XM3, the only coupe-type SUV among domestic cars, performs better overseas. With sales in Europe fully underway, the total sales including domestic sales exceeded 70,000 units last year.

The three companies are expected to accelerate their niche market strategies this year as well. Korea GM plans to launch the full-size SUV Chevrolet Tahoe and the full-size pickup truck GMC Sierra in the domestic market. Amid the strong trend of “upsizing” in the domestic automobile market, they are betting on full-size and extra-large models.

Renault Samsung plans to expand its eco-friendly lineup this year by launching a hybrid model of the coupe-type SUV XM3. Ssangyong Motor also plans to release the mid-size SUV J100 (project name) this year, and next year, in partnership with Chinese electric vehicle company BYD, will introduce the electrified model U100 (project name) of the J100.

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