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South Korean automaker KG Mobility (KGM)—formerly known as SsangYong Motor—plans to establish a new vehicle assembly plant in Algeria, a move aimed at strengthening its footprint in Africa amid a broader push into emerging markets. According to a Business Korea report the company is accelerating its overseas expansion to counter sluggish demand at home by boosting sales in fast-growing international markets.
Under the project, KGM will set up a Completely Knocked Down (CKD) assembly facility in partnership with Emin Auto, a long-standing and influential automotive distributor in Algeria. The plant, scheduled to begin operations next year, will assemble vehicles using imported components and is expected to produce around 10,000 units annually. Initial production will focus on the Musso pickup and the Torres SUV, both of which are well-suited to the diverse and often demanding driving conditions found across the African continent.
Emin Auto is not new to industrial ventures; it is also collaborating with China’s JAC Motors on the construction of a commercial vehicle plant in Tamzoura, underscoring its growing role in Algeria’s automotive manufacturing landscape.
For KGM, the Algerian project is a key element of its global diversification strategy. As domestic sales stagnate, the company is increasingly turning to international markets where demand is rising—particularly in Africa, where automotive growth is estimated at 3–4% per year. The new facility is expected not only to serve Algeria but also to act as an export hub for other African markets.
This initiative complements KGM’s broader expansion program, which includes parallel developments in Saudi Arabia, Vietnam, and Indonesia, signalling a deliberate shift toward deeper global integration. The company’s efforts are already yielding notable results. KGM’s export volumes have climbed from 28,133 units in 2021 to more than 62,000 units in 2024. Between January and October 2025, exports reached 57,436 units, marking an 18% increase year-on-year, and projections indicate that totals will surpass 70,000 units by year’s end.
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With its growing export momentum and the strategic establishment of an assembly base in Algeria, KGM is positioning itself as a more prominent global player. The Algerian plant is set to become a cornerstone of the company’s African expansion, reinforcing its long-term objective of achieving sustained growth through a diversified and resilient international market strategy.
