The head of South Korea’s biggest automaker, Hyundai Motor Group, emphasized localization to win over new overseas markets as he toured company plants in India and Turkey that have undergone a shift in focus.
“The greatest competitiveness comes from localization,” Chung Mong-koo was quoted as saying in company press releases.
“The plants in India and Turkey should win over new markets in India, the Middle East and Africa as the two pillars in localization,” he said.
Hyundai Motor Group chairman Chung Mong-koo gives orders during his field inspection of the automaker’s manufacturing plant in Izmit, Turkey, on Tuesday. Chung stressed quality control and tight management at the plant, which has been appointed the forefront production base of i20 vehicles tailored for the European market. (Hyundai Motor)
Chung used the Chuseok holiday, a celebration of the harvest season, to tour the two plants that recently took on new roles as production bases. The Chennai assembly line in India, which used to make cars for export to Europe, now hones in on India’s market, while the Izmit factory in Turkey will produce compact models for Europe.
Hyundai will retain the brand name, platforms and designs, but the size of the vehicles as well as the options will be varied to better suit consumers in India and Europe as well as potential future markets.
Hyundai sold 33,750 units in India in August, up 19.2 percent from the same month last year. It sold 12,000 units of its new compact i20, just launched in August, in 15 days.
In the first seven months of 2014, Hyundai Motor’s sales in India stood at 236,655 units, up 6 percent from 223,232 units a year earlier, data provided by the carmaker in August showed.
For all of 2013, Hyundai Motor sold 380,002 cars on the subcontinent, making it its third-largest single overseas market following China and the United States.
Hyundai Motor plans to recruit dealers in the second half of this year who have good performance records and begin tailored promotion programs by tying up with regional events.
Touring the Turkish plant after the India trip, the Hyundai chief called for aggressive sales efforts in Europe to grab the reawakening market.
“The quality of the new cars is most important in enlarging our market share in Europe,” Chung told company executives at the Izmit factory. “We need to make our best efforts so that the i20 made in Turkey can change the sales landscape of the European market.”
Hyundai’s Turkey operation sold 88,040 cars to 30 countries in Europe and other nearby countries in the January-June period.
The automaker will unveil the completely redone i20 next month at the Paris motor show and start sales in Europe. (Yonhap)
