Car-makers move to front row of the grid
Of the five Korean car manufacturers - Hyundai, Ssangyong, Daewoo, Samsung and the troubled Kia Motors - Daewoo has emerged as the most prolific.
Expansion has occurred for all the companies concerned, except Kia which is fighting to stave off bankruptcy.
Daewoo is now manufacturing in a number of countries, most notably in eastern Europe, while Samsung, the newest entrant to the highly competitive Korean domestic market, is expected to begin exports to Asia next year.
Samsung's Nissan-based models are expected to start rolling off the production line in March next year.
The new plant at Pusan will produce 80,000 cars next year, rising to 200,000 units by the end of the decade.
Daewoo has bought a controlling interest in Polish vehicle manufacturer FSO and is also starting production in Romania.
In addition, an engine-building facility is expected to be established in Britain, along with a car production factory.
Samsung, South Korea's largest conglomerate, may also set up production in Britain.
Daewoo's engine plant will initially export its engines to eastern Europe factories, or even Korea itself, before car production begins in Britain.
In the Ukraine, Daewoo has taken over the state-owned vehicle-maker, Autozaz. In Britain, it has purchased a design studio in Worthing, a valuable acquisition as it seeks to develop its own cars after severing ties with former partner General Motors.
It has also established assembly lines in India, Vietnam and Uzbekistan. Daewoo intends to become one of the top 10 car manufacturers in the world by 2000.
In Hong Kong, Daewoo rejected a local distributor who introduced the basic and cheap Daewoo Racer - basically a 10-year old Opel design - to the SAR and has this year established its own network, launching the highly acclaimed Nubira as its first car. Others are to follow.
'The Nubira is an Italian-designed and German-engineered car. It offers high standards of safety, equipment and driving pleasure,' said B. H. Son, general manager of Daewoo Motors Hong Kong.
