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How Hyundai lost momentum, and will 'take a few years' to recover
Mon, Nov 5 2018SEOUL/DETROIT/CHONGQING, China — At a near-empty Hyundai Motor showroom in the Chinese mega city of Chongqing, the store manager is grumbling about his shortage of customers and a lack of bigger, cheaper SUV models popular in the world's largest auto market. Even with discounting of as much as 25 percent, his dealership was selling barely a hundred vehicles a month, said the manager surnamed Li. A nearby Nissan dealership was selling about 400 vehicles a month, a store manager there said. "The sales are simply poor," Li told Reuters. "Look at the Nissan store next door, they have tens of customers while we just have two." An hour's drive away is Hyundai's massive $1 billion manufacturing plant, which opened last year with a target to produce 300,000 vehicles per year. But with sales weak and the Chinese auto market slowing sharply, the factory is running at roughly 30 percent of capacity, two people with knowledge of the matter said. The sources asked not to be identified because the information was not public. Hyundai, the world's fifth largest automaker, declined to comment on the Chongqing plant's production or the showroom's sales but said it is "closely cooperating" with local partner BAIC to turn around the China business. BAIC did not respond to requests for comment. Hyundai's woes mark a major reversal for the automaker which was an early success story in China as it quickly and cheaply rolled out popular new models into a surging market. In 2009, Hyundai and partner Kia's combined sales ranked third in China after General Motors and Volkswagen. The South Korean duo now ranks ninth, and its market share in China was 4 percent last year, from more than10 percent at the beginning of this decade. Executives and industry experts say Hyundai conceded its once stronghold in the low-end segment to fast-growing Chinese rivals such as Geely and BYD. Foreign rivals not only defended their turf in premium segments but also kept pricing competitive for mass-market models, squeezing Hyundai's positioning as an affordable foreign brand, they said. In the United States, the world's second-biggest auto market, Hyundai's market share fell to 4 percent last year, near a decade low. Hyundai ran into problems in China and the United States for similar reasons: It missed shifts in consumer tastes, especially the surge in demand for SUVs, and it sought higher prices than its brand image could command, four Chinese dealers and half a dozen former and current U.S.
Hyundai-Kia claims 'greenest' title from Honda, Big Three still big losers
Tue, May 27 2014Let's start with the good news. On average, any new car you buy in the US today will be 43 percent cleaner than any average new car in 1998. Here's some more good news, for Korea anyway, Hyundai-Kia has been named the cleanest automaker in the latest study by the Union of Concerned Scientists (UCS), which looked at 2013 model year vehicles sold between October 2012 and September 2013 from the top eight automakers (by volume). The bad news? The big three Detroit automakers are, on average, still making the dirtiest cars in the showroom. The big three Detroit automakers are, on average, still making the dirtiest cars in the showroom. The problem for Ford, General Motors and Chrysler lies in their trucks, which sell well but tend to have pretty bad fuel economy (compared to sedans, at least). The UCS calculates its list by averaging "the per-mile emissions for each light-duty vehicle sold by each automaker" and then factors in "the fuel economy, fuel type, and sales volume of each type of vehicle sold by each automaker" and "the upstream global warming emissions from producing and distributing the fuel used by each vehicle, as well as emissions from the vehicles themselves." That all means that, the more trucks you sell, the worse you're gonna do. Then again, the more trucks you sell with 18 mpg, the more you're helping drivers put CO2 into the air, so the UCS is doing a fair comparison of the things that this study is trying to track. More details on the methodology are available on page six of the study PDF. In case you were wondering (we were), UCS did make sure to use the revised mpg numbers for Hyundai and Kia models that were originally overstated. Hyundai has apologized for and fixed those figures and even with the new, corrected numbers, Hyundai's total emissions are dropping at a rate of about three percent a year, enough for it to take the greenest company title for the first time. In fact, this is the first time that an automaker other than Honda has come out on top in the UCS ranking, which has been released six times now, including the first one in 2000 (which looked at 1998 model year data). In 2010, Honda was almost knocked off the winner's perch by both Hyundai and Toyota, but managed to hold on. Chrysler, on the other hand, came in dead last (again) in the ranking of the top eight automakers, snagging the "dirtiest tailpipe" award once (again). Read the UCS' press release below.
Recharge Wrap-up: Hyundai Tucson Fuel Cell logs moon-worthy mileage, Kolle makes Renault Kangoo ZE pickup
Thu, Feb 26 2015A French company called Kolle has made a pickup truck version of the Renault Kangoo ZE. The converted version of the electric van retains the same battery and drivetrain, offering a range of 106 miles, plus a bit more utility without the restraints of a roof over the cargo area. The tailgate is separated into two hinged doors, which swing open to the side for loading and unloading. Payload is about 1,433 pounds. The price is about $16,400, which includes incentives, but not the price of the battery. Read more at Inside EVs, and get more details at the Kolle website. Drivers in southern California have put enough cumulative miles on the Hyundai Tucson Fuel Cell to reach the moon. The hydrogen-powered crossover recently surpassed a combined 238,900 miles, which is the average distance from Earth to the moon. Mileage and other helpful information is gathered from participating owners periodically. "Surpassing this fundamental stellar threshold gives us a glimpse into the unlimited zero-emissions potential for Hyundai fuel cells," says Hyundai's Mike O'Brien. "If a small fleet of hydrogen-powered fuel cell vehicles can accumulate this kind of mileage in just a few short months, one can only imagine the potential for a zero-emissions hydrogen vehicle future." Read more in the press release below. A cross-country trip in a pickup running on chicken fat is scheduled for March 8. Cliff Ricketts, an agribusiness and agriscience professor at Tennessee State University, originally began the trip in November, running on biodiesel made from chicken fat. The 1981 Volkswagen Rabbit pickup's transmission broke near Kansas City, cutting short the trip between Key West, Florida and Seattle, Washington. With the truck repaired, he hopes to make the 3,550-mile trip next month. During his earlier attempt, though, Ricketts logged fuel economy ranging from 36 to more than 45 miles per gallon. Read more at Domestic Fuel. HYUNDAI TUCSON FUEL CELL DRIVERS FROM SOUTHERN CALIFORNIA ACCUMULATE SUFFICIENT MILEAGE TO REACH THE MOON EMISSIONS-FREE Cumulative Zero-emissions Mileage by Fuel Cell Drivers Surpasses 238,900 Miles FOUNTAIN VALLEY, Calif., February 25, 2015 – Hyundai Tucson Fuel Cell drivers have surpassed an impressive threshold, recently accumulating more than 238,900 miles on the roads of Southern California, all while emitting only clean water vapor.