February 17, 2020

SsangYong Motor mulls belt-tightening measures amid slump

PUBLISHED : August 06, 2019 - 11:00

UPDATED : August 06, 2019 - 11:00

  • 본문폰트 작게
  • 본문폰트 크게
  • 페이스북
  • 트위터
  • sms

SsangYong Motor said on Aug. 6 it is considering some belt-tightening measures due to increased losses.

In a letter sent to employees last week, SsangYong Motor President and CEO Yea Byung-tae said the company will begin discussing a set of cost-cutting measures, including reducing the number of executives by up to 20 percent, according to a company spokesman. 

The measures under review are aimed at “preemptively” responding to rising costs and worsening profitability, the CEO said in the message.

In the January-June period, SsangYong Motor’s net losses almost doubled to 77.6 billion won ($64 million) from 39.6 billion won a year earlier.

Lower demand for its models and higher marketing costs in a tougher competition with rivals ate into the first-half bottom line. The company sells SUVs only, and its lineup is composed of the flagship G4 Rexton, Tivoli, Korando C and Korando Turismo. 

Last week, SsangYong Motor and its union agreed on a wage deal for a 10th consecutive year without staging a strike.  

By Ram Garikipati and newswires (

  • 페이스북
  • 트위터
  • sms
Herald Corporation|CEO : Kwon Chung Won
Publisher. Editor : Kwon Chung Won
Chief Privacy Officer & Juvenile Protection Manager : Yang Sung-jin
Title : The Investor|Date of registration : 2015.04.28
Company Registration No. 104-81-06004
Mail-Order Business Registration 2016 - Seoul Yongsan - 00590
Huam-ro 4-gil 10, Yongsan-gu, Seoul, Korea
T : +82-2-727-0114|Business info
Gov’t registration No. Seoul 아04099