Samsung OEM Dream Dead, VW Crystal Ball, Chips Woe Continues – The Week – Just Auto

Like its Korean chaebol peers, Samsung once had high ambitions to become a big automotive OEM. It now appears reconciled to a different approach to the automotive value chain. Samsung has reportedly decided to bring the final curtain down on its automotive OEM dream and sell its 19.9% stake in Renault Samsung Motors. The move will end Samsung’s 27-year-old presence in automotive manufacturing. Established in 1994, Samsung ceded ownership of the business to Renault in 2000. Since then, Samsung has been a silent partner and present in the auto business receiving dividends and trademark royalty, without any involvement in the Renault Samsung Motors management. Renault Samsung Motors is presently ranked fourth in South Korea in terms of vehicles sales and follows Hyundai, Kia and Genesis. It sold 95,939 units in 2020, representing a 5.1% market share. The company manufactures passenger cars at its plant located in Busan catering to both domestic demand and exports. While it…