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Plant expanding operations

Renault agrees deal to start manufacturing Polestar’s EVs at South Korean factory.
Posted on 21 February, 2024
Plant expanding operations

Renault Korea Motors has announced the first fully electric vehicle (EV) will roll off the production line at its plant in Busan in 2025 as part of plans to turn the site into a major hub for exports.

The company plans to launch its own hybrid range in 2024 before expanding operations at the factory in the South Korean city after reaching an agreement with EV-maker Polestar and Geely Group.

Under the deal, units of the Polestar 4 are due to be manufactured in Busan by the second half of 2025. 

Renault Korea says most of those zero-emissions vehicles will be destined for the North American and domestic South Korean markets. 

The Busan plant has an annual capacity of 300,000 units and about 2,000 employees.

Stephane Deblaise, chief executive officer of Renault Korea, says: “Polestar 4 will be the first full electric vehicle produced in Busan plant, symbolising the Renault Korea Motors renewal and our ambitious vision for the future. 

“We are very proud of this new partnership and grateful to the Polestar brand for its trust.”

Thomas Ingenlath, Polestar’s chief executive officer, notes the agreement is the next step in diversifying the marque’s manufacturing footprint. 

“With Polestar 3 on-track to start production in Chengdu, China, in early 2024 and in South Carolina, US, in mid-2024, we will soon have manufacturing operations in five factories, across three countries, supporting our global growth ambitions,” he adds.