Hyundai Outsells Toyota in U.S.

Combined sales of Hyundai and Kia cars outpace Toyota's in July, market share climbs to 14.6 pct vs. Toyota's 13.7 pct

Hyundai Motor and its sister Kia Motors expanded their combined share of the U.S. auto market to close to 15 percent, outpacing Toyota and European automakers, according to the recent issue of the U.S. magazine Autodata.
Autodata reported that the two Korean carmakers'sales in July came to 72,440 units of passenger cars (not including SUVs and commercial vehicles), sharing 14.6 percent of the U.S. auto market, up from 14.4 percent in June and up 2.7 percent YoY, while Toyota's car sales for the same month accounted for 13.7 percent and European carmakers'combined sales for the same month took up a 14.5 percent share.
The combined sales of the two Korean carmakers outpaced those of European carmakers in February and overtook those of Toyota from May.
The combined sales of both Hyundai and Kia in the first seven months of this year accounted for 13 percent of total sedans sold in the U.S. during the period, almost catching up with Toyota's 13.9 percent, Autodata figures showed.
The sales of the Sonata and Soul helped the most to expand the sales of Korean automakers in the U.S. market. The Sonata's July sales came to 20,884 units, up 17.1 percent YoY, while sales of the Genesis jumped 52.3 percent in July to 3,517 units. Sales of the Soul came to 11,351 units in July, up 26.3 percent. All other Korean sedans put on sale in the U.S. also did well including Hyundai's Elantra and Kia's Forte and Optima.
Chairman Chung Mong-koo of Hyundai Motor Group stressed that the group will now have to produce cars that appeal to the sensitivity of consumers, not just their preference for quality. Chung's stress on customer sensitivity is a move ahead of the group's focus on quality so far. It means the group ought to make cars that can move the customers in terms of sensitivity and will boost their brand image, giving prestige to the drivers.
The chairman noted that both Mercedes Benz and BMW make their owners feel very special with their stylish gadgets and designs. Now that we make cars that don't break down, we are called on to produce cars that appeal to customers'pride and stylish lifestyle, Chung said during a meeting of key executives of the group.
Officials of Hyundai Motor take what the chairman has been stressing to mean a management of elegance or refinement in Hyundai and Kia cars. Both automakers have been working on producing cars that have premium images for owners to enjoy. They feel their cars should give the drivers the feeling that their hands and feet are part of the cars as they move and touch the gadgets and the pedals, giving them pleasure.
The carmakers have begun to strengthen their R&D personnel, first focused on such concerns as noise, shaking, riding pleasure, collision, durability and multimedia ― five key functions in cars ― so that they can interact very well when the cars are moving.
In order to make cars more elegant and prestigious, overall improvement is needed, therefore the R&D division will be revamped and sections will be merged with a focus on the control of the cars. Research on control equipment of cars will be revamped by increasing the number of staff researchers including bringing in foreign researchers.
A Hyundai Motor official said in order to up the elegance of their cars, control technology is the key that will harmonize all the sections of the cars.
Hyundai Motor Group has also been working on the development of a convertible now that its hybrid cars won prizes abroad in recognition of the excellence of technologies that went into producing them. Hyundai and Kia have been accumulating the technologies for the development of convertibles in the past several years, especially on those needed for the adjustment of the cover and reduction of impact on the roof cover when a collision occurs. They came very close to holding a road test of a convertible model that has been developed, but scrapped the plan, agreeing that it was too early for the introduction of a convertible, which should be followed three or four years after the premium brand prestige management is successfully completed.
The group plans to hold the premium brand management on the Equus and Genesis sedans modeled after Toyota's Lexus, Nissan's Infinity and Honda's Legend. nw

Chairman Chung Mong-koo of Hyundai Motor Group.

Photo on Courtesy of Hyundai Motor Group