[2020 Green Mobility Award] Mobility Innovation Award Renault Samsung

Renault Twizy (Photo by Renault Samsung)

[Asia Economy Reporter Kim Ji-hee] Renault Samsung Motors' Busan plant is the world's only production base for the ultra-compact electric vehicle Renault Twizy. The Twizy was produced at Renault Group's Valladolid plant in Spain and was imported and sold domestically after its launch in 2016. However, since production began in Busan last October, it now handles not only domestic but also overseas volumes, including Europe.

The domestic production of the Renault Twizy carries significance beyond just relocating overseas production volumes to Korea. The domestic production of the Twizy is entrusted to Busan-based local company Dongshin Motec. It is a win-win model created by the collaboration between a large corporation and the local community with domestic small and medium-sized enterprises. All production equipment from the Valladolid plant was moved to Dongshin Motec's factory located within Renault Samsung's Busan plant for Twizy production.

At the 'Twizy Busan Production Commemoration Ceremony' held last October, representatives from Renault Samsung and Dongshin Motec, government officials from Busan City, the Ministry of Environment, and the Ministry of Trade, Industry and Energy, economic organization representatives such as Lee Gap-jun, Vice Chairman of the Busan Chamber of Commerce and Industry, and civic group leaders attended. This was explained as meaningful as a local company win-win model for revitalizing the Busan regional economy.

The domestic production of the Renault Twizy is the result of a strong partnership between Renault Samsung and the local community. At the end of 2018, Renault Samsung signed a business agreement with Busan City and Dongshin Motec, and since then, they have jointly prepared production sites, localization of production lines, parts supply, and technical support. Busan City was responsible for administrative and financial support for facility investment and sales expansion.

Dongshin Motec, a Busan-based automotive body parts manufacturer, has an annual Twizy production capacity of about 5,000 units, including domestic and export volumes. Export volumes are currently planned mainly for the European market and are expected to expand to other regions in the future. The annual production volume will also be reviewed for expansion depending on future sales growth.

The outlook for the Asian market is also bright. Thanks to its small body, the Twizy can conveniently navigate narrow alleyways and can be parked up to three vehicles in the space of one regular car. Leveraging these advantages, it is gaining attention as a vehicle for urban commuting, delivery, security, and facility management.