Chosun Biz reports that Stellantis executives in South Korea have planned to visit local Jeep and Peugeot dealerships at the end of this month. Additionally, company officials are preparing for a trip to Leapmotor’s headquarters in Hangzhou, Zhejiang Province, China, home to 53 showrooms of the Chinese automaker.
Stellantis could leverage its existing dealer network to help Leapmotor in South Korea
A Stellantis official in South Korea stated that the company needs to “assess Leapmotor International’s competitiveness” in the country and is studying which dealers are willing to sell the Chinese brand’s vehicles. Leapmotor International says it plans to enter Asia-Pacific markets but does not specify which ones.
Leapmotor International will begin operations with two models: the T03 city car and the mid-size C10 SUV. The Chinese automaker offers the C10 in China in purely electric and range-extended variants, but Leapmotor International plans to sell only the latter. The joint venture will enter European markets in September and gradually expand into Asia-Pacific, the Middle East and Africa, and South America starting in the fourth quarter of the year.
Stellantis has announced that it will produce the Leapmotor T03 at its Tychy plant in Poland. The company is conducting prototype production and plans to move to mass production in September. According to an Autohome report, Stellantis’ vice president of communications in China stated that they can produce Leapmotor products in any of their plants worldwide if economically feasible.
To offset potential business loss due to the trade war with Europe, Chinese automakers are increasing their focus on other Asian markets, as well as the Middle East and Latin America. However, South Korea, home to strong manufacturers like Hyundai and Kia, is tough to conquer. Domestic brands offer a wide range of both affordable and luxury cars, including a series of purely electric models, and according to a Maeil Business Newspaper report, enjoy a high market share of nearly 80%. BYD and Zeekr also plan to sell cars in South Korea. Therefore, Stellantis could be the right key for Leapmotor’s success in the country.