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Renault Samsung, Lynk & Co to develop eco-friendly car

This photo provided by Renault Samsung shows the XM3 SUV. (Renault Samsung)
This photo provided by Renault Samsung shows the XM3 SUV. (Renault Samsung)
Renault Samsung Motors Corp., the South Korean unit of Renault S.A., said Monday it will partner with Lynk & Co. to develop an environment friendly vehicle in the Korean market.

Renault Group has announced it will form a joint venture with Geely, the Chinese owner of Volvo Cars, to develop a Renault-brand hybrid passenger car for sale in China and a Lynk & Co-brand eco-friendly model for Korea, a company spokesman said over the phone.

Lynk & Co. is the automotive brand formed as a joint venture between Geely and Volvo in 2016.

Renault Samsung badly needs a new model, which will follow the XM3 compact SUV, to boost its sales in Asia's fourth-biggest economy.

In April, the French carmaker said it will quit its main passenger car business in China after a poor performance in its loss-making venture with Dongfeng Motor Group.

But the joint company with Geely means Renault is returning to the Chinese automobile market.

From January-July, Renault Samsung's sales fell 13 percent to 66,959 vehicles from 76,588 units during the same period of last year.

Renault holds an 81 percent stake in Renault Samsung. (Yonhap)
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