South Korea built its own car model in the mid-1970s, and the Korean automobile industry has grown since then. Effective government policies have played an important part in its extraordinary success. South Korea has quickly embraced new manufacturing technology in response to growing labor costs, putting it in a strong position to capitalize on Industry 4.0 trends. Likewise, the same efforts can be seen across its automotive industry, with each company innovating its way out to digitally transform the sector. With that said, here is Renault Korea Motors’ progress thus far in contributing towards the digitalization of the actor.
Attracting Young Drivers with NFT Campaigns
To attract young tech-savvy drivers, Renault Korea Motors is using its digital campaign, Create Your SM6, and has already submitted 14,000 NFTs based on the highest-trim model of the automobile, the Inspire, prior to the deadline.
The automaker lets users design their own SM6 vehicle using a tool based on artificial intelligence called Stable Diffusion, then submit the finished product as a non-fungible token to win virtual currency. Additionally, this image is expected to include a description, which is generated using ChatGPT, a well-known chatbot produced by Open AI.
The automaker stated that it intended to choose 10 winners and create digital tokens utilizing their NFT artworks while also providing them with klaytn cryptocurrency. For the finalists, more promotional activities are anticipated.
Following the Create Your Epic Car campaign in October and the XM3 E-Tech Hybrid Meta Unpacked campaign, a fictitious launch event for the compact car, in November, the Create Your SM6 campaign is the third of its kind since it began last year as part of the company's NFT-based project.
In July of last year, Renault Korea and Singapore's Altava Group, a luxury apparel company that operates in the metaverse, signed a memorandum of cooperation. In September of last year, the company also partnered with Sandbox, a creator of metaverse games, to introduce NFTs, blockchain games, and virtual reality products.
A Supportive Environment for Environmentally Friendly Vehicles
To bolster its position as a key export hub for the French car giant, Renault Korea Motors plans to extablish a research and development facility in the southern port city of Busan.
It has already struck a deal with the government of Busan, as well as with businesses and academic institutions. Busan City Mayor Park Hyeong-joon, Renault Korea Motors CEO Stephane Deblaise, and other authorities took part in the signing ceremony at the Eurasia Platform of the Busan Station. Together, it plans to develop a supportive environment for environmentally friendly vehicles.
The automaker's Busan plant expected to house the new R&D facility, known as the Eco Cluster Center, where it plans to work with local universities, research organizations, and part suppliers to hire local talent and foster collaboration among the many parties.
The most recent collaboration is a result of an agreement struck in September 2021 between Busan City and Renault Korea to work together to develop the city's clean car industry as a key area of business.
According to the municipal administration, talks are also being held with Renault Korea to turn the French automaker's Busan factory into its export hub for mid-sized and larger vehicles.
Renault Korea plans to collaborate with Geely Motors of China to introduce a brand-new hybrid SUV in 2024 as part of a new automobile project called Aurora.
Making its Busan Plant as a Regional Export Hub
To establish its Busan plant as a regional export hub for the French automaker, Renault Korea Motors is looking to expand.
Through a media event at its Busan facility, the automaker introduced its long-term export goal and cost-effective shipping expertise.
The factory was preparing to ship Busan New Port in South Korea's top-selling compact SUV, the Renault XM3 Arkana, to Le Havre, a French port city in the country's northwest.
The tires of the second Arkana car were fastened to a ladder and tilted to create place for the third car while the three Arkana cars were loaded into the shipping container. The tires were anchored by pieces of wood under them, protecting the cars from harm during transport. Only 10 kilometers separate the factory from the port in Busan, where the container will be delivered the next week.
The head of Renault Korea's manufacturing division, Lee Hae-jin, also voiced his great hopes for the Aurora, a brand-new automobile project. The hybrid vehicle will be the Korean company's first launch in five years when it is unveiled early next year. The vehicle is being created in partnership with Geely Motors of China and will be powered by both gasoline and battery engines.
Lee cited the ability to produce a wide range of vehicles on a manufacturing line, from gasoline to hybrid automobiles, sedans to SUVs, as the Busan facilities' greatest benefit. Nissan automobiles were among the seven car models it originally made.
The Busan facility excels in logistics systems for assembly line workers even though its overall automation rate is lower than that of the Hyundai and Kia facilities located here.
Due to its stringent quality control throughout the whole manufacturing process, the Busan factory is regarded as the best among all of Renault's production facilities in terms of product quality.
The 1997-founded Busan facility has a yearly production capacity of 300,000 automobiles. Four production lines for body assembly and stamping, automobile parts, painting, and final assembly, as well as two built-up areas for casting and producing car engines, make up the facilities.
Mobility Exhibition Hall in the Metaverse
Renault Korea revealed plans to create and operate a car-related experiential venue named Renault Korea Hub in the metaverse beginning this fall. Renault Korea Hub will run within K-verse, a section of the blockchain-based metaverse platform The Sandbox dedicated to Korean brands. Participants will have the opportunity to purchase neighboring areas during the future land auction event, where additional partners will be revealed. The Korean Wave Rising is the subject of this land sale. Through subscription and auction, participants will be able to own adjacent lands to numerous leading Korean firms, including Renault Korea.
Visitors can also experience Renault Korea automobiles, technology, design philosophy, and the story behind each vehicle in voxel (volume and pixel) format at the Renault Korea Hub.