Hyundai preparing to enter US commercial vehicle market
Tue, Feb 17 2015
The decision is part of the brand's newly announced push into the commercial vehicle segment worldwide, according to Reuters. Hyundai intends to invest 2 trillion South Korean won ($1.8 billion) into the venture through 2020, and the Korean automaker expects the segment to grow by 30 percent annually worldwide over the next five years. Around 1.6 trillion won ($1.5 billion) of that goes towards development of new models and engines for the division. Another $363 million is for expansion of the company's Jeon-ju plant to build 100,000 units there each year.
According to Reuters, there's no set timeline on the US introduction of these models yet. Hyundai already sells commercial vehicles in Korea and China but holds just 2.1 percent of the global market in the segment.
Autoblog reached out to Hyundai Motor America to learn more, but company spokesperson Jim Trainor said via email, "It is too early to provide any more details concerning the sale of commercial vehicles in the US market."
The company is already setting it sights on the European commercial segment with the HG350 (pictured above). It's offered as either a cargo van or flatbed and is meant to compete against market stalwarts like the Ford Transit and Mercedes Sprinter. Rather than this vehicle, the US might get one of Hyundai's newly developed models, though. The automaker previously suggested to Autoblog that it wasn't "seriously considering" the HG350 for this market, at least at that time.
Hyundai Motor Plans to increase Jeon-ju Commercial Vehicle Plant capacity to 100,000 units
• Hyundai Motor to invest KRW 2 trillion on commercial vehicle development and production until 2020
• New Pilot Center, Global Training Center expected in Jeon-ju plant
• 1,000 new jobs to be created following the increased capacity
February 16, 2015 – Hyundai Motor announced today that it will invest KRW 2 trillion over the next six years to enhance its global commercial vehicle competitiveness.
KRW 1.6 trillion will be invested on developing new models and engines to strengthen global commercial vehicle competitiveness. Another KRW 400 billion will be invested on increasing production capacity of Jeon-ju plant from the current 65,000 units to 100,000 units by 2020.
As a result, Hyundai Motor expects to hire additional 1,000 employees to support the increased production capacity. Also, it plans to construct new Pilot Center and Global Training Center within Jeon-ju plant.
-Ends-
• Hyundai Motor to invest KRW 2 trillion on commercial vehicle development and production until 2020
• New Pilot Center, Global Training Center expected in Jeon-ju plant
• 1,000 new jobs to be created following the increased capacity
February 16, 2015 – Hyundai Motor announced today that it will invest KRW 2 trillion over the next six years to enhance its global commercial vehicle competitiveness.
KRW 1.6 trillion will be invested on developing new models and engines to strengthen global commercial vehicle competitiveness. Another KRW 400 billion will be invested on increasing production capacity of Jeon-ju plant from the current 65,000 units to 100,000 units by 2020.
As a result, Hyundai Motor expects to hire additional 1,000 employees to support the increased production capacity. Also, it plans to construct new Pilot Center and Global Training Center within Jeon-ju plant.
-Ends-
By Chris Bruce
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