Samsung Commercial Vehicles Explained

Samsung Commercial Vehicles Co., Ltd.
Native Name:삼성상용차 주식회사
Native Name Lang:ko
Type:Subsidiary
Predecessor:Samsung Heavy Industries vehicle production division
Foundation:August 1996[1]
Founder:Lee Kun-hee[2]
Defunct:December 2000
Location City:Daegu
Location Country:South Korea
Industry:Heavy equipment
Num Employees:1,400 (1996)[3]
Parent:Samsung
Hangul:삼성상용차
Hanja:三星商用車
Rr:Samseong Sangyongcha
Mr:Samsŏng Sangyongch'a

Samsung Commercial Vehicles (Korean: 삼성상용차,[4] pronounced as /ko/) was a South Korean trucks, bus and construction equipment manufacturer established by the Samsung Group in 1996 and closed in 2000 as a result of the 1997 Asian financial crisis.[5] [6] [7] The company was formed through a corporate spin-off from Samsung Heavy Industries.

History

In 1992, Samsung started to seek approval to create a commercial vehicles' assembly plant through Samsung Heavy Industries, with Nissan Diesel's technological assistance.[8] [9] By 1994 the local government reluctantly granted all permissions,[6] although Samsung Heavy Industries was assembling heavy trucks from May 1993,[3] and also produced electric car prototypes between 1993 and 1994 (SEV-I, SEV-II and SEV-III).[10] In 1996, Samsung Commercial Vehicles was spun off from Samsung Heavy Industries[11] [12] [13] and on the same year was started the construction of a commercial vehicle plant in Daegu.[3] [5] [6] Truck production was moved from Changwon to the new facility by late 1997.[14] The company also opened a technical service centre at Pyeongtaek.[3] The construction equipment business of Samsung Heavy Industries (mainly producing excavators) was sold to Volvo for in July 1998, following the onset of the Asian financial crisis. The manufacturing operation was renamed as Volvo Construction Equipment Korea and Samsung maintained a minority 13% stake and received a payment from Volvo in exchange of keeping the "Samsung" trademark for a further three years.[15] The forklift production business was sold to Clark Material Handling Company,[16] which had licensed the designs of those kind of vehicles to Samsung since 1986, after an OEM alliance established in 1984.

The Asian financial crisis hit when Samsung Commercial Vehicles marketed the first products under its name.[13] Samsung sold its carmaker (Samsung Motors) to the French Renault, but, after negotiations with Renault's Renault VI subsidiary,[17] Scania and Volvo,[18] it decided to keep the company.[19] One of the truck models produced, the Samsung SV110 with a 2.7-litre diesel engine and a 3.5-tonne GVW version, was sold at overseas markets, including Italy, Turkey and Poland.[20] Versions of the SV110 were also sold in Japan, and they were exported up to 26 countries.[21] In April 2000, the company and SsangYong Motor signed an agreement to jointly sell the truck.[22] Another model, the heavier SM510, was sold in the United Kingdom by 1999.[23]

Between 1997 and 1999, the company's share in a declining South Korean commercial vehicle market was below 4%, which made it harder to achieve economies of scale. It had a net money loss during those years, and continued in operation through the support of Samsung's financial affiliates.[24] In October 2000, truck production at the company's single assembling facility in Daegu was stopped because of an alleged problem to get new engines from Nissan, although plans for restarting production by May 2001 were announced.[25] In early November 2000, Samsung announced it was selling Samsung Commercial Vehicles' assets to cover its debts and relocating its employees,[26] following pressure from creditor banks.[2] At the end of the year, Samsung Commercial Vehicles declared bankruptcy.[4] [7] All its assets were sold and its personnel was transferred to other subsidiaries of the Samsung Group.[4] [27] [28]

The closing of Samsung Commercial Vehicles, along with Daewoo Motors bankruptcy, severely affected the already weakened Daegu economy, increasing the opposition against the national government and the big companies.[29] Samsung Commercial Vehicles' failure generated suspicion and accusations of fraud[30] [31] and destruction of evidence for certain managers.[32] [33]

The company's liquidation ended in 2002.[4] [1]

Branding

At first, Samsung Commercial Vehicles models had the word Samsung and the model designation on the front. In 1998, they adopted the corporate identity of sister company Samsung Motors, using the same marque badge on a redesigned grille.[34]

Models

See also

Notes and References

  1. Web site: 삼성상용차 24일 파산 신청 . Samsung Commercial Vehicles for bankruptcy on the 24th . article.joins.com . Korean . . 23 February 2002 . 24 August 2013 . https://web.archive.org/web/20130824194341/http://article.joins.com/news/article/article.asp?total_id=783368&ctg=11 . 24 August 2013 . dead .
  2. Web site: 52 South Korea Firms Marked for Closure . . 4 November 2000 . 7 October 2017 . https://web.archive.org/web/20171009042531/http://www.nytimes.com/2000/11/04/business/worldbusiness/52-south-korea-firms-marked-for-closure.html . 9 October 2017 . live.
  3. Web site: Annual Report 1996 . Samsung . https://web.archive.org/web/20150403111054/http://www.samsung.com/common/aboutsamsung/download/performance/group_ar_1996.pdf . 3 April 2015 . 59 . live.
  4. Web site: 삼성상용차 부지 경매절차 시작 . Starts the process to auction the Samsung Commercial Vehicles' lot . Korean . yeongnam.com . The Yeongnam Ilbo . 16 October 2002 . 20 March 2013 . https://web.archive.org/web/20140413145646/http://www.yeongnam.com/mnews/newsview.do?mode=newsView&newskey=20021016.00000003.000210&newsType=old . 13 April 2014 . dead.
  5. Web site: History . Samsung . 19 March 2013 . https://web.archive.org/web/20120702055100/http://www.samsung.com/hk_en/aboutsamsung/corporateprofile/history02.html . 2 July 2012 . live.
  6. Book: Guillen, Mauro F. . The Limits of Convergence: Globalization and Organizational Change in Argentina, South Korea, and Spain . 2003 . . Developing Industry: Automobile and component manufacturing . 978-0-691-11633-4 . 166–167.
  7. Web site: Samsung Commercial Vehicle Applies for Bankruptcy . english.chosun.com . . 24 November 2000 . 19 March 2013.
  8. Web site: Company News: Samsung Planning commercial vehicle venture . . 13 June 1992 . 19 March 2013 . https://web.archive.org/web/20180116100026/https://www.nytimes.com/1992/06/13/business/company-news-samsung-planning-commercial-vehicles-venture.html . 16 January 2018 . live .
  9. Web site: 삼성 상용차 참여 시동 . Samsung's commercial vehicle involvement startup . news.joins.com . Korean . JoongAng Ilbo . 12 June 1992 . 4 June 2016 . https://web.archive.org/web/20160605225823/http://news.joins.com/article/2718947 . 5 June 2016 . live.
  10. Web site: Samsung introduces its 1st car an electric . Gadacz . Oles . Automotive News . 20 June 1994 . 11 June 2016.
  11. Web site: ルノーは日産ディーゼルをこうする!? ---サムソン商用車の末路 . Will Renault do the same with Nissan Diesel!? Samsung Commercial Vehicles ends . Japanese . Response.jp . 12 December 2000 . 8 June 2016 . https://web.archive.org/web/20160419160746/http://response.jp/article/2000/12/12/6063.html . 19 April 2016 . live.
  12. Book: Whitby, David R. . Leslie R. . Rudnick . Ronald L. . Shubkin . Synthetic Lubricants And High-Performance Functional Fluids, Revised And Expanded . 1999 . CRC Press . Automotive Trends in Asia . 0-8247-0194-1 . 730 . https://books.google.com/books?id=vkYCvwxyvsIC&q=Samsung+Commercial+Vehicles+2000&pg=PA730.
  13. Web site: Truck Firm Files For Bankruptcy . Hong . Gweon-sam . koreajoongangdaily.joins.com . JoongAng Ilbo . 24 November 2000 . 15 September 2016 . https://web.archive.org/web/20141217223926/http://koreajoongangdaily.joins.com/news/article/Article.aspx?aid=1881908 . 17 December 2014 . live.
  14. Web site: 삼성상용차, 대구산 차량 18일 첫 출고 . Samsung Commercial Vehicles' Daegu assembly plant to make the first shipments on the 18th . news.chosun.com . The Chosun Ilbo . 12 November 1997 . 6 October 2016.
  15. Book: Yun, Mikyung . Stephan . Haggard . Wonhyuk . Lim . Euysung . Kim . Economic Crisis and Corporate Restructuring in Korea: Reforming the Chaebol . 2003 . Cambridge University Press . Foreign Direct Investment after the Crisis . 0-521-82363-3 . 255 . https://books.google.com/books?id=aZW7QgZVlEUC&q=Samsung+Volvo+1998&pg=PA255.
  16. Web site: Construction Equipment Division of Samsung Heavy Industries Signs Letters of Intent with Volvo Construction Equipment and Clark Material Handling . Samsung . 19 February 1998 . https://web.archive.org/web/20160611220914/http://www.samsung.com/us/news/newsPreviewRead.do?news_seq=141 . 11 June 2016 . live.
  17. Web site: Renault mulls stake in Samsung truck . wards.com . . 1 February 2000 . 17 August 2013.
  18. Web site: Samsung Commercial Vehicle Corporation remains unsold . Lee . Yong-taek . koreajoongangdaily.joins.com . JoongAng Ilbo . 27 April 2000 . 8 June 2016 . https://web.archive.org/web/20141118130653/http://koreajoongangdaily.joins.com/news/article/Article.aspx?aid=1876577 . 18 November 2014 . live.
  19. Book: Michell, Anthony . Tony Michell

    . Tony Michell . Samsung Electronics and the Struggle For Leadership of the Electronics Industry . 2010 . . Samsung Electronics and the Samsung Group . 978-0-470-82266-1 . 57–58 .

  20. 29 June 2000 . Bargain prices at Polish show . 191 . 4881 . . Sutton . Reed Business Information . 14 . 0010-3063.
  21. Web site: 삼성1t 트럭 日 첫 수출 . Samsung's 1t trucks first export to Japan. news.joins.com . Korean . JoongAng Ilbo . 9 March 2000 . 4 June 2016 . https://web.archive.org/web/20160605223416/http://news.joins.com/article/3888729 . 5 June 2016 . live.
  22. Web site: Ssangyong to Sell Samsung Trucks . koreajoongangdaily.joins.com . JoongAng Ilbo . 26 April 2000 . 4 June 2016.
  23. 27 May 1999 . Jarvis . Bryan . New equipment comes on site . 189 . 4826 . Commercial Motor . Sutton . Reed Business Information . 16 . 0010-3063.
  24. Web site: [기업퇴출] 삼성 상용차-'불패신화' 동반 퇴출 ]. Corporate withdrawal - Samsung Commercial Vehicles ending the "unbreakable myth" . jjan.kr . Korean . Jeonbuk Ilbo . 3 November 2000 . 31 May 2017 . https://web.archive.org/web/20171009092501/http://www.jjan.kr/news/articleView.html?idxno=21874 . 9 October 2017 . live.
  25. Web site: Samsung Truck Division Suspends Production Until March 2001 . Kim . Jong-ho . english.chosun.com . The Chosun Ilbo . 20 October 2000 . 29 September 2016 . https://web.archive.org/web/20150305110707/http://english.chosun.com/site/data/html_dir/2000/10/20/2000102061213.html . 5 March 2015 . live.
  26. Web site: 삼성상용차 "엄정한 평가"…그룹계열사 인력 수용 . Transfer of workforce from Samsung Commercial Vehicles in "strict evaluation" . Kim . Jong-soo . fnnews.com . Korean . The Financial News . 4 November 2000 . 31 May 2017.
  27. 韓国自動車産業の構造調整をめぐる争点 . November 2004 . Kim . Gi-won . Issues associated with the restructuring process of the Korean automotive industry . Japanese . 552 . The Journal of the Ohara Institute for Social Research . Ohara Institute for Social Research . 24 . 0912-9421 . https://web.archive.org/web/20060222051855/http://oohara.mt.tama.hosei.ac.jp/oz/552/552-02.pdf . 22 February 2006 . live.
  28. Web site: <기업구조조정> 삼성상용차, 자산은 매각·인력은 계열사 수용 . "Corporate restructuring:" Samsung Commercial Vehicles, sale of assets and personnel transfer to subsidiaries . Korean . Labortoday.com . 3 November 2000 . 20 March 2013.
  29. 2010 . Chang . Duckjoon . Reforms and decentralization in Korea and Russia: issues and research agendas in the center-periphery relations . 24 . 2 . The Journal of East Asian Affairs . Institute for National Security Strategy . 137 . 23258216 . 1010-1608.
  30. Web site: 심상정의원이 예금보험공사의 삼성 상용차에 대한 조사와 관련하여 제기한 5가지 의혹에 대한 해명 . Members of the Deposit Insurance Corporation in connection with an investigation into Samsung Commercial Vehicles which raised doubts about five registers . newswire.com . . 25 September 2005 . 24 August 2013.
  31. Web site: [Editorial] Stop Looking After Samsung ]. english.hani.co.kr . . 24 September 2005 . 7 October 2017 . https://web.archive.org/web/20171009042437/http://english.hani.co.kr/arti/english_edition/english_editorials/66531.html . 9 October 2017 . live.
  32. Web site: 삼성상용차 설비매각, 알고보니 '비리 투성' . Sale of Samsung Commercial Vehicles' equipment and units looked 'riddled with corruption' . Ohmynews.com . 8 October 2004 . 20 March 2013.
  33. Web site: 김용철 "삼성,법원 매수해 삼성상용차 분식회계서류 빼내 해운대서 소각" . Kim Yong: "Samsung Commercial Vehicles' accounting fraud out of document incineration " . news.chosun.com . . 26 November 2007 . 20 March 2013.
  34. Web site: 三星商用車 SM/SVトラック . Samsung Commercial Vehicles SM/SV trucks . Motor.geocities.jp . Japanese . 10 June 2016 . https://web.archive.org/web/20160610170019/http://motor.geocities.jp/ptbgb350/koreancar/lineup/samsung/truck/samsungtruck.html . 10 June 2016 . live.
  35. Web site: 삼성삼성상용차, 도시형 1톤트럭 SV110出市 . Samsung Commercial Vehicles: 1-ton urban truck SV110 . samsung.co.kr . Samsung . 2 November 1998 . 20 March 2013 . https://archive.today/20130413134026/http://www.samsung.co.kr/article.do?cmd=view&numb=1&searchCategory=1&contentId=178 . 13 April 2013 . dead .

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia article "Samsung Commercial Vehicles".

Except where otherwise indicated, Everything.Explained.Today is © Copyright 2009-2024, A B Cryer, All Rights Reserved. Cookie policy.