Thursday, November 21, 2019
Renault Samsung Focusing on Securing XM3 Export Volume
Production of Qashqai Follow-up Model Scratched Off
Renault Samsung Focusing on Securing XM3 Export Volume
  • By Michael Herh
  • October 23, 2019, 14:09
Share articles

The XM3 to be released by Renault Samsung in the first half of next year

Renault Samsung Motors has canceled a plan to produce the follow-up model of the Nissan Qashqai, which was promoted as contract manufacturing of the Nissan Rogue will be terminated early next year.

The Nissan Rogue accounted for about half of Renault Samsung's production volume last year.

"We recently informed our suppliers that our plan to produce the follow-up model of the Qashqai has been finally scratched off," a Renault Samsung official said on Oct. 22

Renault Samsung has been pulling out all the stops to secure a manufacturing contract as its contract with Nissan on the production of the Rogue SUV ended in September this year. The Rogue held 75.51 percent (52,486 units) of the automaker’s total export volume (69,911 units) in the first nine months of the year.

Although Renault Samsung recently won a contract from Renault Group of France to manufacture the XM3, a new model to be released next year, the production volume was only about 20,000 to 30,000 units, not enough to fill the void left by the suspended production of the Rogue.

As a result, the Qashqai’s successor model was seen as the flagship vehicle for Renault Samsung along with the XM3.

However, as Renault Group was involved in a dispute over management control with Nissan, a plan to allocate some production volume of the Qashqai’s subsequent model to Renault Samsung was eventually canceled.

Renault Samsung plans to secure a bigger XM3 manufacturing contract from Renault Group. Considering its Rogue production volume, the automaker will have to manufacture at least 80,000 units.