KGM Commercial announced on the 22nd that it has started its first overseas export in its history, kicking off its journey to increase electric bus sales in the global market.
With this development, KGMC aims to transform from a domestic-focused company to an exporter following its incorporation into the KG Group family, laying the groundwork for early normalization of management through global market expansion and increased sales.
The first export destination is Paraguay, a nation in Latin America dominated by Chinese brands, where they collaborated with the Korea Automotive Technology Institute (KATECH) to export five units of the environmentally friendly electric seat bus (SMART 110E).
This export is part of a project won by KATECH under the 2024 Industrial and Trade Cooperation Development Assistance (ODA) program, which not only focuses on exports but also plans to establish a local automotive parts center in Paraguay alongside KGMC, contributing to the promotion and support of eco-friendly automotive technology through demonstration and operation of electric buses for national interests.
As part of this collaboration, Paraguayan Minister of Industry Javier Gimenez and Itaipu Hydroelectric Plant President Justo Aricio Zacarias Irun, as well as Miguel Angel Romero, the Ambassador to Korea, and KATECH’s Yang Jeong-jik, were in South Korea from the 14th to the 23rd. They visited the KGMC headquarters (located in Pyeongtaek) and the KGMC Gunsan plant on the 20th and 21st to share experiences in advancing the domestic eco-friendly automotive industry and discuss ways to enhance Paraguay’s automotive policy capabilities, thereby instilling trust and strengthening cooperation between the two countries.
Additionally, KGMC plans to invite high-level government officials, including the President of Paraguay, to the launch event for the electric seat bus, scheduled for November when the first units are delivered locally.
KGMC is determined to use this export to Paraguay as a springboard for aggressive local marketing and assertive market penetration in the Asia-Pacific region, which is a key market for right-hand drive vehicles, expanding overseas market development and sales.
A KGMC representative stated, “We plan to expand the domestic market alongside producing various eco-friendly buses. Through utilizing our global network, we aim for increased sales volumes and ultimately grow into a global comprehensive commercial vehicle company from a domestic eco-friendly bus manufacturer.”<END>
By Lee Sang-jin daedusj@autodiary.kr