Hyundai Motor Co. and affiliate Kia Motors Corp. have prepped with new models to take back the market share lost to foreign brands in the first quarter.
Hyundai began taking sales orders for the third-generation Santa Fe SUV on March 21, with more than 10,000 ordered already for the mid-April launch. Kia plans to release the K9 premium sedan on May 2, promising the biggest, boldest Kia yet. The model is the creation of former Audi/Volkswagen designer Peter Schreyer.

The two new models are the first major launches this year by domestic players, which have been increasingly cornered by foreign brands whose market share reached almost 10 percent.

Despite growing exports, Hyundai’s domestic sales shrank 7.1 percent in the January-March period with 154,855 units shifted. The figure for Kia dropped 7.4 percent with sales volume of 116,272. Apart from GM Korea, whose revenue grew 28 percent in the first quarter, all four local carmakers saw sales drop as German brands enjoyed the sharpest sales growth in the same period.

First showcased at the 2012 New York International Auto Show on Wednesday, the new-look Santa Fe will be available with a choice of two four-cylinder engines ― a 2.0 liter turbocharged unit producing 268 horsepower and maximum torque of 27.2kgm, and a 2.4 liter GDi pushing out roughly 193 horsepower and maximum torque of 25kgm. The first update in seven years is slightly longer than the current one at 4.68 meters and marginally narrower. In terms of design, the third-generation Santa Fe added more angular lines over the body with a more squared-off front and rear.

“We’ve been increasingly receiving inquiries about Santa Fe for the past two weeks. A lot of customers are asking about smart navigation management system and other specifics,” a Hyundai Motor official said.

Pricing is yet to be announced, but dealers expect an increase of less than 1 million won from the previous model, sold at 27 million won.

Kia’s K9, scheduled to go on pre-sale within the next two weeks, is a continuation of its K-series following two successful predecessors, K5 and K7. The new sedan’s pricing ranges between 53 million won and 87.5 million won, depending on the engine and interior specifics, which is cheaper than Hyundai’s premium sedans Equus and Genesis. The launch is Kia’s next bet to go up market to challenge Audi and BMW. It will come with the 3.3 liter and 3.8 liter engines that power Hyundai’s Genesis.

“We are entering new terrain for Kia ― a big luxury segment. This is a really a big step for Kia,” the company’s chief design officer Peter Schreyer told a recent media briefing.

By Cynthia J. Kim (cynthiak@heraldcorp.com)