KGM postponed localization of car production in Russia

The South Korean brand KGM, formerly known as SsangYong, postponed plans to localize car production in Russia indefinitely. The project may be returned to after demand in the automotive market has stabilized, Rossiyskaya Gazeta reported, citing the company's press service on October 14.

In a statement, brand representatives said that KGM expected to begin localization in the second half of 2026. However, now the company's priority has become the sale of existing car stocks. The release dates of new models on the Russian market have also been revised — in particular, the appearance of the Actyon crossover has been postponed to 2027.

In the first nine months of 2026, slightly more than 2.5 thousand KGM cars were sold in Russia. The brand is currently represented by four models: Tivoli and Korando, priced from 3.4 million rubles, Torres — from 4.1 million rubles and Rexton — from 5.6 million rubles.

At the same time, in February 2025, when KGM announced its entry into the Russian market, representatives of the brand reported that it was planned to start assembling cars at the Avtotor plant in the Kaliningrad region in the autumn of the same year. In the first year of sales, it was planned to sell 20,000 KGM vehicles.

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