KG Mobility Chairman Kwak Jae-sun introduces the Torres EVX during the Seoul Mobility Show 2023 at KINTEX in Goyang, Gyeonggi Province, in this March 2023 photo. Courtesy of KG Mobility

KG Mobility is facing difficulties in obtaining the trademark rights for its Korean name, not just for its English name and the three-letter acronym, "KGM," according to the nation's intellectual property office, Sunday.

The Korean Intellectual Property Office (KIPO) notified the carmaker on June 17 of the reasons for refusing the registrations of the company's name written fully in Korean and the one that combines "KG" written in the Latin alphabet with "Mobility" written in Korean.

The main reason for its refusal was a Turkish trademark troll, Cihan Turan, who had registered "KG Mobility" in the European Union in March last year when KG Group decided to rename SsangYong Motor to KG Mobility after the chemical giant acquired the debt-ridden carmaker in 2022.

Because KIPO prioritized Turan's applications based on the Paris Convention, the Korean firm was not allowed to secure the trademark for its English name last September.

"This applied trademark is similar to another person's trademark applied earlier, in terms of name, concept and designated goods," KIPO said in documents sent to KG Mobility.

Due to the dispute, KG Mobility has advertised its vehicles here and overseas by using "KGM" as an alternative to its full name.

However, the firm failed to register the “KGM” trademark in Turkey, one of its most important export markets. The Turkish Patent and Trademark Office refused the registration of “KGM,” because the Turkish government-run General Directorate of Highways, which is written as "Karayollari Genel Mudurlugu" in Turkish, had already been using the same acronym.

Even in Korea, the trademark for “KGM” is also under KIPO review, following an objection filed last year by KTM, an Austrian motorcycle manufacturer, which says consumers are likely to be confused by the two similar acronyms.

Cihan Turan's website says that KG Mobility is a registered trademark in the European Union, Britain and Turkey and that the trademark right belongs to him. Screenshot from Cihan Turan's website

KG Mobility was reportedly asked by Cihan Turan to pay a significant amount of royalties. In addition, another trademark troll named Erhan Turan registered the "kg mobility" trademark in Turkey in January last year.

The company has said that there will be an amicable agreement, denying the possibility of the trademark dispute affecting its exports.