en.Wedoany.com Reported - Dimension News, August 3 - Chery Automobile has agreed to invest $75 million in South Korean automaker KG Mobility Corp through convertible bonds. KG Mobility stated that if these bonds are ultimately converted into shares, Chery will hold approximately 10% of the company's stake.

"Chery has multiple production bases around the world. We believe these bases could become an important area of cooperation between the two companies in the future. For example, we can explore sharing global production capacity and engage in multifaceted collaboration in the manufacturing sector," said Zhang Guibing, General Manager of Chery International, in an interview with reporters in Seoul.

Zhang Guibing also stated: "We also see many other cooperation opportunities, including sales channel collaboration and even brand-level partnerships."

In recent years, Chinese automakers have been increasingly partnering with traditional overseas car manufacturers to utilize overseas plants with underutilized production capacity.

"Of course, one of our key goals is to further strengthen our presence in overseas markets," said Zhang Guibing. Chery is currently China's largest automobile exporter.

Zhang Guibing revealed that Chery is actively exploring various options to enter the U.S. market. However, before entering the U.S. market, the company needs to comply with relevant U.S. laws, regulations, and other regulatory requirements.

KG Mobility plans to launch a mid-size SUV, internally codenamed SE-10, in January next year, which will be built on Chery's T2X vehicle platform. The model will offer both gasoline and plug-in hybrid versions and will be sold in both the domestic South Korean market and overseas markets.

KG Mobility Chairman Kwak Jae-sun stated that the company currently has no plans to export this model to the U.S. market, but remains open to the possibility in the future.

KG Mobility, formerly known as SsangYong Motor, currently trails Hyundai, Kia, and General Motors in the South Korean automotive market. As an SUV manufacturer, KG Mobility sold over 55,000 vehicles in both domestic and overseas markets in the first half of this year, with exports accounting for approximately 60% of total sales.

In addition, the two companies have agreed to establish a joint working group to explore cooperation in areas such as semiconductors, robotics, raw materials, and steel. Kwak Jae-sun stated that both parties will seek further cooperation opportunities in these fields.