China’s SAIC accused of stealing hybrid technology from Ssangyong
11/13/2009, 11:15 AM
By Drew Johnson
A number of Chinese automakers have been accused of stealing vehicle designs, but Shanghai Automotive Industry Corporation has become the first Chinese automaker thought to be guilty of stealing trade secrets.
According to the latest reports out of Korea, SAIC is being accused of stealing hybrid technology from its Korean partner Ssangyong. SAIC purchased a 48.9 percent stake in Ssangyong in 2005 and reportedly stole the company’s hybrid technology in 2006.
Ssangyong developed its first “Hybrid Control Unit” in 2004, thanks to a large contribution from the Korean government. However, the Korea car maker soon fell on hard times, opening the door for SAIC’s purchase in 2005.
With SAIC struggling to develop hybrid technology of its own, the Chinese automaker reportedly forced Ssangyong engineers to share the automaker’s hybrid tech in 2006. Rumors of such dealing surfaced in 2007, but no action was taken until earlier this week.
As a result of the investigation, seven Ssangyong engineers have been indicted on charges of transferring sensitive information to SAIC. However, despite its involvement, the Seoul Central District Prosecutors’ Office says it has no plans to bring charges against SAIC, according to The Korean Times.
The findings seem to support the theory that SAIC only purchased Ssangyong to gain access to its technology and leave the company by the wayside. Ssangyong was forced into bankruptcy earlier this year and recently had its turnaround plan rejected by outside investors. A final meeting on the fate of the company is set for December 11th.
11/13, 11:18 AM
posted by:
DenverGuy217
and just think about every American company a Chinese one currently has an investment interest in. Not good although also not surprising.
11/13, 11:39 AM
posted by:
04focus
Wait, what? So Ssangyong’s corporate parent got some tech for its ownership, and it’s “stealing” now? So I suppose Ford “stole” the MZR from Mazda, or Toyota “stole” the new Subaru coupe, or maybe Renault “stole” the Nissan VQ? They got owned, shut up and take it, Korea.
Or is this only an issue because a Chinese company is doing it?
11/13, 11:42 AM
posted by:
05Z88Path
I hope someone at Ford sees all the red flags coming out of China (this isn’t exactly the first story of the Chinese stealing automotive technology or information) and has second thoughts about selling Volvo. That being said I don’t know how they’re going to raise the kind of capital they need when it comes time to pay back their loans….
*insert picture of sinking ship flying the American flag with a pirate ship pulling up alongside flying the Chinese flag*
You get the idea….
11/13, 11:46 AM
posted by:
e46Ne90
RIP hummer volvo
11/13, 11:51 AM
posted by:
armstealer
Nice that Korea goes after the employees instead of the company they were acting for.
11/13, 11:56 AM
posted by:
ayrtonJ
More propaganda against China.
11/13, 12:17 PM
posted by:
johnnycanuck
(It’s been a while since I was able to trot out this old gem…)
Sorry Ssangyong, but you know where you find sympathy don’t you? It’s in the dictionary between sh*t and syphilis.
11/13, 12:23 PM
posted by:
Borat
How different what SAIC done to what Ford have done to Volvo, Benz to Chrysler, GM to Daewoo? Shark eating shark.
11/13, 12:32 PM
posted by:
Veda
They copied everything so it only makes sense they’ll probably dump Volvo and Hummer later on if they deemed them not profitable enough and not useful anymore. After they copied everything and integrate them in their vehicles that they’ll export to US of course.
11/13, 12:33 PM
posted by:
mugengsr
Who cares?? SAIC bought almost 50% of Ssangyong. Of course they’ll be using some of the technology. Duh!! Ssangyong makes the ugliest cars. I don’t think people will care if they disappear.
11/13, 12:36 PM
posted by:
darkwingduck
mugengsr – that’s what I thought. If I may repeat what you said.
WHO CARES??? I know I don’t
11/14, 12:22 AM
posted by:
fordman
Hey everybody,did you here the rumor,Ford SUCKS? Somebody by the name of fordman is spreading it,but it’s not a rumor,Ford SUCKS!
11/14, 9:52 AM
posted by:
NoMoreGM4Me
They didn’t steal the exterior designs. Maybe because these are the ugliest vehicle ever made.
11/15, 2:46 AM
posted by:
A4
They all steal **** from each other anyway. Who the hell cares?