Han Media: Hyundai's Sales in China Remain Weak, Local Factories Will Become Export Bases!
On September 3, the South Korean media outlet "Today's Finance" published an article stating that Hyundai seems to be continuing its weak performance in China this year. In the context of sustained decline in sales in China, Hyundai is trying to turn its local production base into an export base in an effort to rebound. Despite its market share dropping below 1%, Hyundai continues to introduce new products and actively explore the Chinese market.
According to industry insiders, Beijing Hyundai, the Chinese joint venture of Hyundai, sold 59,311 vehicles in China during the first half of this year, a decrease of 27.3% compared to the same period last year. Kia's sales in China during the same period also declined by 2.9% to 38,473 units.
Hyundai's sales in China exceeded 1 million units in 2013, achieving rapid growth. However, as of last year, Hyundai's market share in China had dropped to 0.6%.
However, the export volume of Hyundai's Chinese joint ventures has increased significantly. In the first half of this year, the exports from Beijing Hyundai increased by 249.3% to 34,864 units. The top-selling model for exports was the Elantra, with sales of 18,610 units, mainly exported to the Middle East countries such as Saudi Arabia. Approximately 10,000 units of the Sonata taxi produced in China were also sold to South Korea.
Kia's total sales in its Chinese factories during the first half of this year reached 123,945 units, an increase of 13.1%. Its exports amounted to 85,472 units, up by 22.2%. The best-selling model for exports was the compact SUV Sonet, which sold about 20,000 units in South America and the Middle East.
Previously, due to weak sales in the Chinese market, the production lines of Beijing Hyundai fell into a slump. However, driven by the export effect, the total sales for the first half of this year reached 94,175 units, an increase of 2.9%, returning to the level of the first half of 2022 (94,158 units). At the end of last year, Hyundai invested 78.4 billion KRW into Beijing Hyundai, and plans to invest another 38.93 billion KRW in the first quarter of this year, aiming to build it into a global export hub.
Hyundai is also continuously expanding the Chinese domestic market, such as developing electric vehicles that meet the needs of the Chinese market. Starting with the recently launched China-exclusive electric vehicle "ELEXIO," Hyundai plans to successively launch 6 electric vehicles optimized for the Chinese market by 2027.
Original: www.toutiao.com/article/1842226193455113/
Statement: This article represents the views of the author.