South Korean Small and Medium Companies Start to Develop Their Own Electric Vehicles

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One will be able to see electric vehicles that are made by small and medium companies on streets shortly as electric vehicles have changed paradigm of automotive industries. Companies are starting to develop cars with motors that are somewhat simpler than cars with engines. Small and medium companies are preparing themselves to go after markets for finished cars that were only possible for large global corporations. According to industries on the 5th, small and medium companies called Semi Sysco and Daechang Motors are planning to release their ultra-small electric vehicles called 'R3' and 'DANIGO' in August and September respectively. R3 already passed variety of certification procedures that are required from Ministry of Land, Infrastructure, and Transport (MOLIT) and Ministry of Environment (ME) and is only left with evaluation from Korea Environment Corporation regarding subsidy. On the other hand, Daechang Motors is going through certification procedures from MOLIT and ME. When it passes these procedures, it will be the first small and medium company to obtain subsidy ($5,003 per car) and to pass procedures.

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Not only these companies developed their own electric vehicles with their own technologies but they also have their own rear-end infrastructures such as production, sales, and maintenance. They are preparing themselves to go after markets for finished cars, which are seen as an area only for large corporations.

After completing first Saejong plant in last May, Semi Sysco is demonstrating its own ultra-small electric vehicle.

Semi Sysco recently prepared production plant with size of 19,286m2. It has facilities for production excluding battery (cell) and motor, actual driving test, and QA (Quality Assurance). To these facilities, it added branch retail stores with 4S functions (business, maintenance, exchange of parts, customer management system) in Jeju-si and Sejong-si and is planning to add another in Seoul early next year. It is planning to respond to customers for AS (After Service) and others through Master Automotive Management that has about 1,500 maintenance network in South Korea.

Daechang Motors is currently operating its own production plant in Jincheon. It secured 23,000m2 of land at a national industrial complex, which is located in Daegu, last month and is planning to construct its production line for ultra-small electric vehicles. In order to sell its electric vehicles on full-scale, it is also establishing its own sales and AS network. It has already secured customers by agreeing to supply 'DANIGO' to large corporations as company cars.

SAEAN recently introduced its reverse-trike electric vehicle called 'WID-U' and is currently taking preorders for it. WID-U is equipped with 3.98kWh detachable nano-lithium polymer battery and is designed to drive 100km with just single charge.

Daechang Motors’ ultra-small electric vehicle called ‘DANIGO’

CAMMSYS, which specializes in camera modules, is planning to release its ultra-small electric vehicle called ‘PM-100’ during second quarter of next year and is currently developing platforms for PM-100 and high-efficient powertrain.

Recently South Korea Smart e-Mobility Association, which is an ecosystem for electric vehicles, was established with small and medium companies at the center. With President Park Young-tae of CAMMSYS at the center, electronic component manufacturers and related research organizations decided to establish a cooperative ecosystem.

"Entry barrier for manufacturing of electric vehicles is greatly low as structure of electric vehicles is simpler compared to internal combustion locomotives and it is easier to make components into modules." said President Oh Choong-ki of Daechang Motors. "After gaining experiences in technologies and markets for ultra-small electric vehicles, we are planning to expand our business to markets for fast sedans.

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Staff Reporter Park, Taejoon | [email protected]

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