• Nov 12, 2009
In the beginning of the decade, before SsangYong got into really deep doo-doo, the Korean automaker began work on a hybrid control unit (HCU) with German engineering firm FEV. From 2004 to 2008, as the research continued, the South Korean government provided nearly half of the financial resources for the development of the technology. In 2005, as Ssangyong's stumbles began, Chinese automaker SAIC took a majority stake in the Korean company.

A year later, in 2006, SAIC saw the success SsangYong was having with the HCU and allegedly pressured SsangYong engineers to hand over the technology. And that, according to Korean state prosecutors, violated laws regarding the transfer of "homegrown technologies... without state permission." Since the Korean government paid for almost half of the tech, SAIC's rights to the HCU needed to be approved by the Korean government.

Seven indictments have been brought against SsangYong engineers, none of whom were financially compensated for revealing the HCU plans to SAIC. It appears to be a simple case of bullying. No action is planned against SAIC. Hat tip to Regular Man!

[Source: Korea Times | Image: Jung Yeon-Je/AFP/Getty]


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    • 1 Second Ago
  • 59 Comments
      • 5 Years Ago
      What the hell is "qinese"? I think your comment is racist.
      • 5 Years Ago
      y am i not surprised?
      • 5 Years Ago
      @ anonymous j

      > That's funny considering South qorea is where the whole counterfeit good business originated from

      This must some kind of an alternate universe you are posting from. Because in our universe it's China.
      • 5 Years Ago
      Heil Ssangyong!

      Nope, doesn't have the same ring to it.
      • 5 Years Ago
      Wow. So much China Vs Korea comments here.
        • 5 Years Ago
        na disgruntled Chinese vs smart people (not including me)
      • 5 Years Ago
      @ anonymous j

      > Isn't this what happened with GM and Ford and their foreign brands ie Volvo, Saab, etc etc?

      GM and Ford owned 100% of Saab and Volvo, and paid for their R&D, so they can do whatever they want with Saab and Volvo's technology.

      This wasn't the case with Ssangyong's Hybrid Technology stolen by SAIC; it was paid for by Ssangyong's own capital and Korena government's money(Not a yuan of SAIC's money), thus transferring it out of Korea required Korean government approval.
      • 5 Years Ago
      Like I said

      "That's funny considering South qorea is where the whole counterfeit good business originated from, the only difference is that at your local qorean retailer they push the goods off as AUTHENTIC, so they're basically ripping you a new one when you purchase that counterfeit gear at retail prices.. That's right, North Face apparel, New Era caps, and other various name brand apparel including sneakers, but the qoreans get away with it by pointing the finger at the Chinese all the while doing the business themselves. Talk about shameless."

      Maybe try knowing something before you talk.
      • 5 Years Ago
      Criticizing an unethical business behavior is one thing, making racist comment is another, and it is not protected by freedom of speech.

      You sir, have taken Autoblog to a new low.
      • 5 Years Ago
      And, Why ?????
      Chinese would never do this, I for one am not surprised !!!!!!!!!
      • 5 Years Ago
      Saab, Volvo will fall in same fate.
        • 5 Years Ago
        @ Rar

        > Saab, Volvo will fall in same fate.

        Yup, give them 5 years before they file for bankruptcy once Chinese moved every single engineering document to China and mastered the use of those document.
        • 5 Years Ago
        Seeing that both Volvo and Saab are much more prestigious and established brands than SsangYong, I would be shocked if they ended up with the same fate.
      • 5 Years Ago
      Epic Headbands are Epic
      • 5 Years Ago
      racist south qorean trolls posing as readers... so far:

      superongoy
      2001 altima aka Jessica
      ryuryuryturtuy - I can't believe this guy hasn't been banned yet??
        • 5 Years Ago
        @ anonymous j

        > and you know this how?

        It's in the article quoted by this autoblog's article. You didn't bother to read, did you?

        > So where did the SAIC funds go?

        It bought 51% of Ssangyong shares.

        > and please tell me how you would know this?

        You can read corporate information. Ssangyong was a public company.
        • 5 Years Ago
        To my best friend anonymous j
        lol it seems to me that u are like five..lol (im sorry for that one)

        But seriously.. do some research before you come out and talk about this. What is with you and the Korean govt??? Im pretty sure that the Korean Govt has bigger things to solve than looking at autoblog, like the incident with North Korea... Im pretty sure that North Korea attacking Korea is a bigger worry to the Korean Govt than trying to make everyone believe that China is a bad country.. so im gonna make this clear to you, NO ONE ON AUTOBLOG IS IN THE KOREAN GOVT.... did u get that or should i repeat it?? Just to make sure "NO ONE ON AUTOBLOG IS IN THE KOREAN GOVT"....

        Actually to me, it seems that u are the racist person here. What? did a little korean man hurt ur feelings when ur little??? (sorry for that one too..)
        • 5 Years Ago
        @ anonymous j

        > ryuryuryturtuy - I can't believe this guy hasn't been banned yet??

        Autoblog administraters tolerate you, so why would they ban him?

        This is USA and you have a right to free speech; this concept seem foreign to a Chinese national like you who thinks that all your thoughts should be government controlled or something.
        • 5 Years Ago
        and you know this how? b/c you work for the SK govt? or you just talk nonsense?
        So where did the SAIC funds go? and please tell me how you would know this?
        • 5 Years Ago
        @ anonymous j

        > Use the technology they PAID half for?

        The development of technology was paid for by Ssangyong's own fund and Korean government's matching fund.

        Not a yuan of SAIC money went in.
        • 5 Years Ago
        "What China did was very unethical and you know it. "

        What's that? Use the technology they PAID half for? Yes very unethical, instead they should hijack designs for free, and push them off as originals.
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