Edison Motors CEO vows to bolster EV lineup and normalize output without layoffs

[Photo by Edison Motors]

Edison Motors is not considering any streamlining after it comes to command SsangYong Motor Co. as it sees annual output can be normalized to 300,000 units through EV enhancement by leveraging on the electric bus maker’s knowhow, according to its CEO after winning the preferential candidacy to buy a controlling stake in the carmaker under court management.

“We’ll help SsangYong Motor break its streak of bad luck. With the help of SsangYong employees, a turnaround is possible from next year,” Kang Young-kwon, CEO of Edison Motors said in his interview with Maeil Business Newspaper on Wednesday.

Streamlining won’t be necessary as Kang is confident that SsangYong Motor will be able to run at its full capacity of 300,000 units from current output level of 100,000 units when it goes electrified.

“We hope to put an electric vehicle capable of driving up to 450km on a single charge in near future and add more eco-friendly vehicle lineup to keep the production level running at the full capacity of 300,000 units,” said Kang.

He envisions EV output to increase from 50,000 units in the first year to 150,000 units.

Kang proposes a three-shift cycle in the work shift schedule to produce traditional combustion engine-driven cars, hybrids and EVs at the same time.

“Based on the change, SsangYong will be able to have a global leadership in future mobility and EV sectors. We also will keep up efforts to improve the welfare programs and payment for employees as well as seeking for ways to help small business owners in Pyeongtaek (SsangYong’s manufacturing base in Gyeonggi Province),” he added.

As for the funding plan, Edison Motors recently took over Kosdaq-listed EV component supplier Semisysco Co. It plans to raise around 240 billion won ($204.3 million) through issues of rights offering and bonds and seek 1 trillion won from other investors.

Kang emphasized he was going after SsangYong Motor for “national interest,” not personal fortune.

The envisioning however cannot be possible without cooperation from the union.

“We’ve requested various documents, information for acquisition from SsangYong Motor but obtained almost nothing. If the employees are not willing, we cannot go on,” said Kang.

Kang, a former TV program producer, started his own business after founding a production company in 1999. He then advanced into the waste disposal business and sold the company for 48 billion won. To invest in new technology, Kang acquired Edison Motors under a Chinese company. The electric bus maker last year delivered an operating profit of 2.8 billion won on sales of 87.9 billion won.

[ㄏ Maeil Business Newspaper & mk.co.kr, All rights reserved]