Demand for cheap Chinese vehicles rise in Korea

Demand for imported Chinese vehicles in South Korea is on the rise due mainly to their price competitiveness, a local importer said Wednesday."To meet growing local demand for Chinese vehicles, we are planning to import an additional 320 KENBO 600 sport-utility vehicles by the end of June," a spokesman for Zhonghan Automotive Co. said. (Yonhap)The 1.5-liter gasoline-powered SUV model sells for between 19.9 million won and 20.99 million won ($17,500-$18,500) in the local market, the company said.

May 10, 2017

Story behind the name of Hyundai’s first small SUV Kona

Kona, Santa Fe and Tucson are all SUVs made by South Korea’s No. 1 automaker Hyundai Motor and named after international vacation spots.Hyundai Motor’s first-ever small-size SUV, dubbed the Kona and slated for launch this summer, got its name from the Kona district, which is a famous vacation spot on Hawaii’s Big Island, the company said.  A teaser image of the Kona, Hyundai Motor’s first small SUV. (Hyundai Motor Group)The name of Hyundai’s soon-to-be released model was also intended to capture

May 9, 2017

'Samsung-Magneti Marelli merger unlikely'

The rumor that Samsung Electronics might purchase Italian auto parts maker Magneti Marelli is unlikely to come true, said the head of Fiat Chrysler Automobiles’ operation in Seoul, citing the carmaker’s debt reduction plan, which is nearing its end, and a lack of correlation between the business strategies of the two companies. Market rumors have spread fast after a Bloomberg report last year said the South Korean tech giant was in private talks with FCA to buy its affiliate Magneti Marelli. The

May 9, 2017

[Herald Interview] Riding on SUV boom, FCA scores in Korea

When looking back over the past five years in South Korea, Pablo Rosso, president of Fiat Chrysler Automobiles Korea, sees a clear change in the local automobile market. Not only has the number of foreign cars surged, from 10 percent in 2012 to 14.3 percent in 2016, but market demand for unique cars -- in color and features -- has grown as an alternative to mass-produced domestic sedans. And that is what FCA could offer best, he said.  Pablo Rosso, president of Fiat Chrysler Automobiles Korea (P

May 9, 2017

Hyundai, Kia remain determined against forced recall

Hyundai Motor and Kia Motors, South Korea’s top two automakers, attended on Monday a hearing on a forced recall, following the first-ever refusal by a local automotive company to comply with recalls ordered by the government.The Ministry of Land, Infrastructure and Transportation had ordered Hyundai and Kia to recall 250,000 vehicles across 12 models last month, after looking through five cases of possible safety risks caused by allegedly faulty auto parts.While acknowledging the defective parts

May 8, 2017

To share or go premium: Consumers make polarized choices in auto industry

A rising trend among motorists, particularly younger ones, is to rent rather than own, prioritizing efficiency.While owning a vehicle in South Korea has long been considered a rite of passage to show economic achievement, more people are shunning making such investments and opting for car sharing services. Such tendency has also leveraged the growth of an opposing trend of the fewer but more lucrative consumption of high-end luxury brands, according to the industry insiders.“The phenomenon can b

May 7, 2017

Korean midsize hybrid car market halved this year

Sales of midsize hybrid cars were halved in the first four months of this year, mainly due to existing vehicle models becoming dated and the popularity of new non-hybrid vehicles, market watchers said Sunday.Data provided by carmakers showed sales of the Sonata, K5 and Malibu hit 2,268 units at the end of April, down a sharp 49.7 percent from a year earlier.Broken down by month, sales in January plunged 62.6 percent on-year, with numbers backtracking 41.7 percent and 29.7 percent in the followin

May 7, 2017

Hyundai’s Grandeur HG most popular used car

 Hyundai Motor’s luxury lineup Grandeur HG sedan has been selected as the most popular used car, industry data showed Friday.According to data compiled by used car dealer SK Encar, Hyundai’s Grandeur HG ranked No. 1 in terms of the accumulated number of people who viewed the model on the used car dealer’s website between Jan. 1 and April 24 this year. A total of 443,790 people viewed the Grandeur HG in the cited period, which equates to 3,900 people per day on average.  Hyundai Motor’s luxury li

May 5, 2017

Hyundai, Kia China sales plummet last month amid THAAD row

Hyundai and Kia Motors, South Korea’s top two automakers, saw their combined sales in China plunge by 65.1 percent on-year in April amid the row over the deployment of a US anti-missile system here, industry data showed Thursday. The two auto companies sold a combined total of 51,059 units in China last month, down 65.1 percent on-year, the second consecutive sales decline there, Hyundai Motor confirmed.Hyundai Motor and Kia Motors headquarters in Southern Seoul. (Yonhap)Sales of Hyundai Motor d

May 4, 2017

Hyundai Mobis faces dim Q2 outlook: report

A dim second-quarter outlook for Hyundai Mobis, South Korea’s biggest auto parts maker, has cast a cloud over the company due to a lack of sales momentum for Hyundai Motor and Kia Motors to boost their performance, industry experts said Thursday. Analysts, including Esther Yim at Samsung Securities, lowered Hyundai Mobis’ expected second-quarter performance.   (Hyundai Mobis)Yim projected that the auto parts supplier would post sales of 8.9 trillion won ($7.9 billion) from April to June, down 8.

May 4, 2017

Hyundai, Kia's April US sales remain sluggish

 The combined sales of Hyundai and Kia Motors, South Korea’s top two automakers, in the US market continued a downward slide in April as older models lost popularity, industry experts said Wednesday. The two automakers sold a combined 61,651 units, down 0.9 percent on-year in April, according to Hyundai and Kia Motors America. Kia Motors store located in Indianapolis, Indiana. (123rf)“The US auto market is the most competitive worldwide. This is because automakers need US drivers’ recognition as

May 3, 2017

US production of Kia Sorento SUV tops 1 mln mark

Kia Motors Corp., Korea's second-biggest carmaker by sales, said Wednesday that its US production of the Sorento midsize SUV surpassed the 1 million mark. Kia reached the milestone with a pearl-colored Sorento SUV built at its Georgia plant on May 2 (US time). The Sorento SUV went into production in the US on Nov. 16, 2009, following the construction of the plant that took three years, according to the company. (Yonhap)The carmaker invested 1.24 trillion won ($1.1 billion) in the Georgia plant.

May 3, 2017

Korea five carmakers' sales fall 11% in April

South Korea's five carmakers said Tuesday their combined sales fell 11 percent last month from a year earlier on weak overseas vehicle demand. The five automakers -- Hyundai Motor Co., Kia Motors Corp., GM Korea Co., Renault Samsung Motors Corp. and SsangYong Motor Co. -- sold a total of 656,735 vehicles in April, down from 740,228 units a year earlier, according to data released by the companies. (Yonhap)Their overseas sales plunged 13 percent to 524,060 units last month from the previous year'

May 2, 2017

Kia's April sales fall 13% on lower overseas demand

Kia Motors Corp. said Tuesday its vehicle sales fell 13 percent last month from a year earlier on lower overseas demand. The country's second-biggest carmaker by sales sold a total of 209,832 vehicles in April, down from 241,617 units a year earlier, the company said in a statement. (Yonhap)Domestic sales fell 10 percent year-over-year to 43,515 units from 48,505 units. Overseas sales were down 14 percent to 166,317 from 193,112 during the same period, it said. In particular, sales of vehicles p

May 2, 2017

Hyundai's April sales fall 12% amid slowing growth

Hyundai Motor Co. said Tuesday its April sales fell 12 percent last month from a year earlier due to lower demand from emerging markets.The country's biggest carmaker by sales sold a total of 364,225 vehicles in April, down from 412,588 units a year earlier, the company said in a statement. (Yonhap)Domestic sales rose 1.5 percent year-over-year to 60,361 vehicles in April, up from 59,465 units. Overseas sales plunged 14 percent to 303,864 from 353,123, it said. As the low-growth trend is expecte

May 2, 2017

Hyundai Mobis Q1 net falls 4.2% on FX losses

Hyundai Mobis Co., South Korea's biggest auto parts maker by sales, on Tuesday posted a 4.2 percent on-year drop in first-quarter net profit due to foreign exchange losses and lower demand from China.Net profit for the three months that ended on March 31 fell to 761.9 billion won ($674 million) from 795.2 billion won a year earlier, the company said in a statement.The won's strength against the dollar in the first quarter weighed on the earnings result, the company said.  (Yonhap)The won strengt

May 2, 2017

Renault Samsung April sales up 2.1% on new model

Renault Samsung Motors Corp., the South Korean unit of French carmaker Renault S.A., said Tuesday its April sales rose 2.1 percent last month from a year earlier on robust sales of a new model.Renault Samsung sold a total of 22,444 vehicles in April, up from 21,981 units a year earlier, helped by strong sales of its QM3 compact sport-utility vehicle, the company said in a statement. Domestic sales increased 1.9 percent year-over-year to 8,702 units from 8,536 units. Exports were up 2.2 percent t

May 2, 2017

GM Korea April sales down 2.8% on weak local demand

GM Korea Co., the South Korean unit of General Motors Co., said Tuesday its April sales fell 2.8 percent from a year earlier due to weak domestic sales. GM Korea sold a total of 49,163 vehicles in April, down from 50,580 units tallied a year earlier, the company said in a statement. (Yonhap)Exports rose 2.2 percent to 37,412 from 36,602. But domestic sales plunged 16 percent to 11,751 units from 13,978 during the same period, it said.The sales results were affected by a 71 percent on-year drop i

May 2, 2017

SsangYong April sales fall 18% on lower demand

SsangYong Motor Co. said Tuesday its April sales plunged 18 percent last month from a year earlier due to slowing overseas demand. The South Korean unit of Indian carmaker Mahindra & Mahindra Ltd. sold a total of 11,071 vehicles in April, down from 13,462 units a year earlier, SsangYong Motor said in a statement.  (Yonhap)Domestic sales fell 8.6 percent to 8,346 units last month from 9,133 units a year earlier. Exports plunged 37 percent to 2,725 autos from 4,329 during the same period, the stat

May 2, 2017

BMW Korea fined for overstating fuel efficiency

The government fined BMW Korea, the local unit of the German luxury carmaker, 102 million won ($90,273) and ordered it to recall 3,465 vehicles for reporting better fuel efficiency than the one measured by the Ministry of Land, Infrastructure and Transport, the ministry said Tuesday. The recall affects the Mini Cooper D 5-door hatchback made between July 2014 and October 2016.BMW Korea, the local unit of the German luxury carmaker, is fined 120 million won ($106,420) and ordered to recall 3,465

May 2, 2017