Hyundai-Kia automotive group joins the ranks of global top five automakers

Yes indeed, Hyundai-Kia cars are going places now...

The Hyundai-Kia Automotive Group has entered the top five of the world’s largest automakers, outpacing rivals like Honda, Nissan, PSA / Peugeot, Chrysler and Fiat. With global sales of 3,961,629 units, Hyundai-Kia has shot up six places in just eight years, according to Automotive News' 2008 Global Data Book published recently.

‘We are extremely proud of having achieved this goal in such a short period of time,’ said Ik-Hwan Kim, Vice-Chairman and CEO of Kia Motors. ‘We have been stressing the value of our products over the last few years and our efforts have not gone unnoticed by the public or the industry, neither quantitatively or qualitatively.’

‘Kia will continue to focus on producing a new generation of quality vehicles with distinctive design to keep the momentum of our brand growing. As a top global automaker, we are set to move in new directions with continuous improvements in quality, design, eco-friendliness and brand innovation for years to come,’ said Kim.

The Group has seen remarkable growth since its foundation. It ranked as the world's eleventh largest automaker in 1999, the year Hyundai-Kia Chairman Mong-Koo Chung took over the helm as CEO. Since then, it has moved steadily up the rankings ladder as under Chairman Chung's leadership the Group accelerated the push to globalize operations by building new manufacturing plants in the United States, China, India, Slovakia, Czech Republic, Russia and Brazil.

Hyundai: Domestic sales up by 34% in June

Hyundai Motor India Ltd (HMIL) has reported a 34 percent increase in domestic car sales. The company sold 21,881 units during June this year, against 16,335 units in June 2007.

HMIL’s overall sales, including exports, during June were up by 45.3 percent, at 40,182 units, compared to 27,653 units in the same month a year ago. The company’s exports for June went up to 18,301 units, against 11,318 units during the same month previous year – an increase of more than 61 percent.

HMIL sold a total of 33,859 units of the Santro, Getz and i10, 6,272 units of the Accent and Verna, 47 units of the Sonata Embera and four units of the Tucson SUV, in June.

‘At a time when the industry is already under tremendous pressure because of higher interest rates, rise in fuel costs and rising inflation, it is indeed very heartening to see that Hyundai products continue to be an affordable and attractive buy for most car buyers,’ said Arvind Saxena, senior vice-president (marketing & sales), HMIL.

Hyundai to launch bigger i-series cars in India

When launched in India in 2009, the Hyundai i30 will be up against 'premium hatchbacks' like the Skoda Fabia...

With the i10 doing well, Hyundai is busy making plans for the rest of its i-series cars – the i20, i30 and i40 – which the company will launch in the Indian market in a phased manner, over the next few months and years.

The i20 hatchback will be the first new Hyundai i-series car for India – expect to see it in Hyundai showrooms by October this year. The car will replace the current Hyundai Getz, and both petrol and diesel engine variants would be available.

The Hyundai i30, which is already on sale in various parts of the world, may come to India by mid-2009. The i30 is likely to be powered by a 1.6-litre petrol engine, and would be positioned as a ‘premium hatchback,’ competing with the likes of the Skoda Fabia.

In 2009, HMIL is also likely to launch the Avante luxury sedan and the Santa Fe SUV in the Indian market, though the priority for Hyundai is to consolidate its position in the compact car segment in the Indian market.

With regard to its existing cars in India, Hyundai is looking at launching more CNG and LPG variants. Also, the i10 is getting a 1.2-litre engine very soon, which is bigger and slightly more powerful than the existing 1.1-litre unit. The car may also be offered with an automatic transmission.

Finally, Hyundai is working with ACMA in trying to persuade the Indian government to sign an FTA with South Korea, which would be on the lines of the existing India-Thailand FTA. This would allow Hyundai to take advantage of lower taxes and duties on automotive components.

Hyundai i10 exports cross 100,000 mark

Hyundai i10 exports have crossed the one lakh units mark in just seven months!

Hyundai has announced that it exported one lakh units of the i10 hatchback, within just seven months of the first shipment. Since the time the Hyundai i10 made its European debut in Bologna, Italy, in December 2007, total export orders have reached 106,749 units, from as many as 98 countries.

‘We are delighted as we reach the fastest one lakh unit export mark for the i10. We always believed that the i10 is a world class car and can compete with all other global compact cars on even footing,’ said H S Lheem, MD, HMIL.

Demand for the i10 continues to be strong in India, with more than 65,000 units already sold in the domestic market. As reported earlier, Hyundai plans to launch a new version of the i10 in the next two months, which will be powered by a 1.2-litre all-aluminium engine that will replace the existing 1.1-litre unit.

Hyundai to build Hybrid LPG Elantra

An LPG-powered Hyundai Elantra for India, by 2010?

The LPG hybrid Elantra is scheduled to go on sale in Korea in 2009. Now, Hyundai Australia is also said to be considering production of the ‘mild hybrid’ Elantra, which would be fitted with an LPG-powered 1.6-litre engine, and a 15kW electric motor powered by LG Chem lithium-ion batteries.

Australia does not import any LPG and has sufficient domestic supplies and 3,200 LPG filling stations spread throughout the country. The hybrid LPG Hyundai Elantra will be substantially cheaper to run that the petrol version, so the car could quite make sense for the Indian market as well.

The Elantra is considered as a ‘luxury car’ in India and the luxury segment in the country has, till now, not seen any usage of LPG and CNG fuels. Still, with the rising costs of petrol and diesel, maybe some Indian buyers would be ready to covert…

Hyundai has major ambitions of leading the ‘green car’ race. The company is hard at work on developing new hybrid cars and may even start limited production of a fuel-cell powered car by 2012.

Hyundai Accent CNG now available, priced at Rs 5.55 lakh

The age-old Accent is now available with a factory-fitted CNG kit...

Hyundai Motor India Limited (HMIL) has introduced a CNG variant of the Accent, which can be run on petrol as well as CNG. The new variant is more expensive than the petrol-only version, and is priced at Rs 5.55 lakh ex-showroom.

The Accent CNG is fitted with Hyundai’s old 1.5-litre engine, which is compatible with CNG without needing any major modifications. HMIL has tied up with Korea-based CEV, which will be providing CNG kits for the Accent. This kit comes with an advanced ‘Lambda’ control system that ensures that the car will meets Euro III emission norms.

Hyundai is also planning to launch LPG variants of some of its cars, including the Accent and Santro.

Hyundai to build new plant in Russia

Hyundai wants to be the no.1 carmaker in Russia. The Korean company will be investing more than US$500 million towards setting up a new manufacturing plant near St. Petersburg

Hyundai Motor Co. has started work on a new car manufacturing facility in Russia, in St. Petersburg's Kamenka industrial zone. Hyundai, the largest Korean car manufacturer will be spending more than US$500 million towards setting up this new plant in Russia, which is one of the fastest-growing car markets in the world.

Hyundai’s Russian plant will be operational by January 2011 and will be producing up to 100,000 small and mid-sized cars per annum by the end of 2011. Initially, the cars made in Russia will be meant specifically for the Russian market, though Hyundai may also look at exporting cars from that country in the future.

Hyundai already produces cars in Taganrog in southern Russia, and its sales in that country were 147,848 units in 2007, a 47 percent increase over its 2006 sales.

Apart from Hyundai, Suzuki and Nissan are also building car manufacturing plants in Russia, while Toyota opened a plant in the Shushary district near St. Petersburg in December last year. Ford also sells cars in Russia, having been present in that market since 1999.

Hyundai sales up by 51.1% in May 2008

Hyundai has sold about 50,000 units of the i10 from Jan to May 2008!

Hyundai Motor India Ltd (HMIL) has announced an amazing 51.1 percent growth in its cumulative sales for May 2008, compared to May last year. Hyundai's total sales in May stood at 40,261 units (domestic 24,510 and exports 15,751) against the sales of 26,648 units (domestic 16,643 and exports 10,005) in the year-ago period.

'In spite of a slowdown in the industry due to higher interest rates, Hyundai has been able to emerge with very strong figures primarily because of a very dominant presence in the compact segment, where both our offerings, Santro and the i10 are becoming the segment leaders,’ said Arvind Saxena, senior vice-president (marketing and Sales), HMIL. The company also registered 17 percent growth in the mid-sized car segment, selling 3,209 units in May 2008 against 2,739 units in May last year.

The new i10 seems to have done particularly well – Hyundai has sold around 50,000 units of the car in the first five months of the calendar year 2008. HMIL is now planning to launch the car with a new 1.2-litre engine, which will be significantly more powerful than the existing 1.1-litre engine that’s currently being fitted on the i10.

Hyundai to launch Rs 1.40 lakh small car in India by 2011, new i10 with 1.2-litre engine in two months

The Hyundai i10 will get a new 1.2-litre engine in two months...

Hyundai is developing an all-new small car for India, which it hopes to launch in the country by 2011-12. The car will cost about Rs 1.40 lakh, and will compete with the Tata Nano and possibly the Bajaj-Nissan small car.

Apart from India, the new Hyundai small car will also be sold in China and perhaps other markets. Hyundai says the new car is being developed in response to a perceived need for a vehicle that’s smaller and less expensive than the Santro, and not necessarily to compete directly with the Tata Nano.

Research and development work for the new small car is already on at Hyundai’s facilities in Korea, and in India, in Hyderabad and Chennai. Hyundai exported more than 100,000 cars from India last year, and hopes to double that number this year.

Hyundai will also launch a new variant of its i10, which will be fitted with an all-aluminium 1.2-litre engine that’s likely to make about 80bhp. The existing i10 comes with a 1.1-litre, 66bhp engine.

Codenamed ‘Kappa,’ Hyundai’s new 1.2-litre engine for the i10 is currently being developed at the company's Chennai facility. Apart from that, the company is also planning to launch LPG variants of the Santro, Getz and Accent cars, as well as a CNG variant of the Accent.

HMIL launches two extended warranty schemes

With five-year warranty schemes being offered on certain Hyundai cars, people may now have additional incentive to buy Hyundai cars

Hyundai Motor India Ltd (HMIL) has announced the launch of two extended warranty schemes, which will be available to Hyundai i10, Santro, Getz Prime (petrol), Accent and Verna owners. The extended warranty schemes would be valid for a period of five years.

Of the two schemes launched, the comprehensive extended warranty scheme provides full protection for the car – including mechanical and electrical parts, the engine, and the transmission – for a period of five years or 100,000km, whichever is earlier.

The partial extended warranty scheme covers only the car’s powertrain (the engine and the transmission), at a minimal cost, for a period of five years or 100,000km, whichever is earlier.

‘The extended warranty schemes will only add to our customer satisfaction levels, and emphasize our commitment to our values and products,’ said B Mani, senior GM - customer care service, HMIL.

Hyundais to be more expensive by up to 2pc from June

Expect the i10 and other Hyundai cars in India to be more expensive by Rs 4,000 to Rs 15,000 from June onwards

After Mahindra and Maruti, it’s now Hyundai that’s announced a price hike on its cars. The company said it would raise prices on its cars by up to two percent in the first week of June. As is the case with other auto manufacturers, input costs are being cited as the reason for this increase in prices.

‘There has been an increase in the input costs and we have been absorbing it for a while. The situation now is such that we have to pass some parts of it to the consumers,’ says Arvind Saxena, senior vice-president - marketing & sales, Hyundai Motor India Ltd (HMIL). He added that price hike would be up to two percent, and will come into effect from the first week of June.

However, if you’ve been waiting to buy your Santro or Getz, you needn’t necessarily rush to your nearest Hyundai dealership right away. Because of the stiff competition – especially in the small hatchback segment – expect fairly significant dealer discounts, freebies and add-ons to offset price hikes announced by manufacturers.

Microsoft and Hyundai-Kia to develop next generation of in-car infotainment

Microsoft and Hyundai-Kia are now working on your next car's 'infotainment' system...

Microsoft Corp. and the Hyundai-Kia Automotive Group (HKAG) have entered into a long-term agreement to co-develop the next generation of in-car infotainment systems. Bill Gates, chairman of Microsoft, and Euisun Chung, president of HKAG, were present as Martin Thall, general manager of Microsoft’s Automotive Business Unit, and Hyun Soon Lee, president and chief technology officer of HKAG, signed the agreement in Seoul.

Together, Microsoft and HKAG will deliver new and innovative solutions based on the Microsoft Auto software platform, bringing the future of in-car technology to Hyundai-Kia drivers worldwide. ‘These new systems will redefine consumer experiences in the car,’ Gates said. ‘Since the spring of 2006, HKAG and Microsoft have been sharing their vision for the future of in-car technology. We’re now aligned to develop the next generation of in-car infotainment systems.’

‘HKAG’s strategic vision is to become a global leader in automotive and information technology convergence,’ Chung said. ‘The partnership with Microsoft will form the foundation for achieving that vision.

‘We are pleased to partner with Microsoft to deliver high-performance infotainment solutions to our customers,’ Lee said. ‘The advanced capabilities, flexibility and low price point make the Microsoft Auto software platform an attractive solution for us.’

The first product, a next-generation infotainment system that provides voice-controlled connectivity between mobile devices, will be introduced in the North American market in 2010. It will further apply to Asian and European markets, and expand into multimedia and navigation devices. These easy-to-use infotainment systems will allow consumers to enjoy music in various digital formats.

The next-generation infotainment systems are comparable to mini-PCs. Even after product launch, new functions can be added or upgraded in the form of software program updates, an innovation to existing in-car multimedia technology.

The Hyundai-Kia Automotive Group’s adoption of the Microsoft Auto software platform increases Microsoft’s presence in the Asian car market and enhances the global automotive business. The engineering and marketing teams of Microsoft’s Automotive Business Unit in Redmond, Wash., will be working directly with counterparts at HKAG in Seoul to support this goal. Systems powered by the current version of Microsoft Auto are currently available in Fiat Auto Group vehicles in Europe and South America and Ford Motor Co. vehicles in North America.

In a related announcement, Microsoft and Hyundai-Kia, along with the Institute for Information Technology Advancement (IITA), signed a memorandum of understanding (MOU) to co-establish an automotive IT innovation center with the goal of promoting innovation and opportunities for Korean software and device vendors in the global market. Hyundai-Kia will invest US$166 million over the next five years to bring IT technology advancements into the car and to develop new in-car services.

Hyundai launches new marketing intiative for rural India

With the 'ghar ghar ki pehchan' scheme, rural India can now get a taste of the Santro

Hyundai Motor India (HMIL) has launched a new marketing initiative – ghar ghar ki pehchaan – for promoting the Santro hatchback in rural India. Under this new initiative, HMIL is rolling out special schemes for government employees and members of gram panchayats, who can now buy a Santro at discounted prices.

Through this scheme, which will continue till the end of July this year, Hyundai wants to connect with people in villages that have a population of 500 or more people. ‘Nearly 70% of India resides in rural areas, which presents an enormous demand base and a market too huge to overlook,’ said Arvind Saxena, senior vice president, sales & marketing, HMIL.

Hyundai dealers will conduct road shows, and give out pamphlets and posters to promote the scheme and to make people aware of this initiative. HMIL is also trying to arrange easy financing solutions for those who want to buy a Santro in rural India.

If Hyundai can get even a fraction of the estimated 220 million households in rural India to buy a Santro, the Korean company should be laughing all the way to the bank!

HMIL: Sales up 36.71pc in April

The new i10 hatchback has been a winner for Hyundai...

At 21,501 units, Hyundai Motor India Ltd (HMIL) has reported a 36.71 percent jump in domestic passenger car sales during April 2008, as against 15,728 units in April 2007. The company's cumulative sales (including exports) during April this year were up 47.77 percent, at 40,001 units, compared to 27,069 units in the same month a year ago. HMIL’s exports for April accounted for 18,500 units, compared to 11,341 units during the same month previous year.

HMIL sold 17,334 units of hatchbacks Santro, Getz and i10, 2,668 units of Accent and Verna, three units of Elantra, 50 units of Sonata and nine units of Tucson during April. ‘HMIL sales for April had been robust and we feel that the budget has been a contributory factor,’ said Arvind Saxena, HMIL’s senior vice-president - marketing & sales.

Caparo to make and sell Hyundai luxury buses in India

With the coming of Hyundai buses, the likes of Volvo will have more competition in the Indian market

Caparo India has tied up with Hyundai Motor, to manufacture Hyundai’s luxury buses in India. The company plans to set up a greenfield facility in southern India, where the Hyundai Aerobus will be made for the Indian market. It’s expected that the facility will be set up on a 20-acre site, and will initially employ about 200 people.

Sunil Pahilajani, MD and CEO, Caparo India, says that the plant will operate as a fully owned subsidiary of Caparo India, under its Caparo Vehicle Products India division, and production will start early next year. The Hyundai Aerobus will be made in three variants, with powertrains ranging from 320 to 380HP. The buses will be assembled from CKD kits, and to start with, annual capacity will be about 1,500 units.

From CKD kits, Caparo and Hyundai will gradually move to introducing local components, starting with the chassis and moving on to other parts. The buses are likely to carry Caparo-Hyundai branding, although all sales and marketing activities will be handled by Caparo India. Caparo will make royalty payments to Hyundai for each bus sold, but exactly how much this sum would be, has not been revealed.

In order to take on established players like Volvo, the Caparo-Hyundai buses will be fitted with quiet, powerful, efficient and Euro IV-compatible engines, sophisticated suspension for very good ride quality, anti-lock brakes for enhanced safety, and ergonomically-designed seats for passenger comfort. No word yet on pricing, but stay tuned for more details soon.