[THE INVESTOR] The Chinese operations of Hyundai Motor Group’s two carmakers have been placed under a single control tower as the group seeks to strengthen operations in the world’s largest automotive market.
According to the carmakers, Beijing Hyundai Motor, Dongfeng Yueda Kia, and China marketing divisions of
Hyundai Motor and
Kia Motors have been placed under the body that oversees the group’s operations in China.
The organization in charge of the group’s operations in China is headed by Kim Tae-yun, the chief of Hyundai Motor’s China operations.
Headquater of Hyundai Motor Group in Seoul.
The move is thought to be in response to the sales drop in recent months. According to industry data, Hyundai and Kia’s sales in China have plunged in the first quarter of the year. January sales saw a 21.9 percent year-on-year drop, while February and March recorded a decrease of 21.2 percent and 6.8 percent, respectively.
The organization change sees the revival of a unified China control tower after two years.
The group had operated a single Chinese control tower until July 2014 when Hsueh Yung-hsing stepped down as the vice chairman in charge of Chinese operations.
At the time, Hsueh said that he was stepping down to make way for younger talent.
By Choi He-suk (
cheesuk@heraldcorp.com)