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Hyundai Veloster nixed in UK after just 3 years

The Veloster, Hyundai's funky, four-door hatchback, has been pulled from the British market after just three years on sale. The blame, as is usually the case in these circumstances, is being placed on slow sales. Auto Express reports that, much like it has in the United States, the Veloster has failed to resonate with both customers and critics. While UK sales figures weren't available to prove AE's point, Veloster sales in the US through November are down nearly 2,000 units over the same period in 2013, to under 26,000 vehicles. That makes it the third-slowest seller in the Hyundai lineup, behind the far more expensive Azera and Equus sedans. The performance-minded Veloster Turbo will be replaced in the UK by a version of the i30 equipped with the VT's 1.6-liter, force-induced, direct-injected engine. You can read all about that new vehicle right here.

We visit Hyundai's Nurburgring test center

Understanding the achievement and the message of Hyundai Motor Group having a European Technical Center at the Nurburgring might be easier if we look at what Hyundai has done in the US. In 1985 Hyundai Motor America set up shop in California. The first car sold here was the 1986 Excel, a rebodied Mitsubishi Mirage with a Hyundai interior treatment. This was the first Mirage, which also served as the Chrysler Colt in hatchback form and circled back as the Mitsubishi Precis so Mitsu could get around Japanese automakers' voluntary export quotas of the time. The Excel made such an impression on reviewers and buyers that in Car and Driver's 1986 review they wrote that "'astounding' is not too strong word" to describe the company's progress, and said, "Our guess is that Hyundai will be a major force in the US car market almost from the moment it opens its doors." Hyundai sold 168,882 Excels in the US in its first year, back when the Ford F-Series led all comers with 544,969 sales. That's what happened. The company sold 168,882 Excels in the US in its first year, back when the Ford F-Series led all comers with 544,969 sales, the Chevrolet Celebrity came second of all vehicles with 408,946 sales, the Honda Accord seventh with 325,004 sales. The Excel sold even better the following year, and the year after that. Three years on, buyers began to discover that one of the things the Excel did best was disintegrate. It's been called "fantastically crappy," Popular Mechanics would later say the Excel "deserved to fail," and they decomposed so thoroughly that you'll have a hard time finding one in any junkyard. Buyers got so allergic to the Flying H badge that sales declined for ten consecutive years. By 1999, when Hyundai's model range was four times larger than it had been in 1986 – Accent, Elantra, Sonata, Tiburon – the brand sold just 90,217 cars in the US. Two important things happened around that nadir. In 1998, as a way of reassuring potential customers, Hyundai became the first automaker to introduce a 10-year, 100,000-mile warranty. In 1999, Mong-Koo Chung became the CEO of Hyundai Motor Company, promoted from 11 years as CEO of Hyundai Motor Service, a role that put him in charge of global warranty claims. Having spent all those years of his life wading through that carnage, he swore when he took the top spot that he'd get the situation fixed. In 2014 the JD Power Initial Quality Survey ranked Hyundai the leading non-premium brand.

Hyundai in trouble for overstating fuel economy numbers at home, too

Hyundai is, understandably, "very confused by the fine and the different results."
The South Korean government is investigating Hyundai and Ssangyong, alleging that the two manufacturers overstated the fuel economy figures on some of their crossovers. But while the initial investigation is being carried out by the Ministry of Land, Infrastructure and Transport, a separate branch of government, the Ministry of Trade, Industry and Energy is supporting the manufacturers' estimates. See Americans, our government isn't the only dysfunctional one.