Hyundai plans to increase production in China by 40% in the following three years and introduce new high-end models.
Beijing Hyundai Motor, which is Hyundai’s joint venture with Beijing Automotive Group, plans to increase production to 1.4 million vehicles and double the number of mid- to high-end products to more than 50% by 2015. Hyundai is one of several other overseas automakers planning to expand in the world’s largest auto market and also the world’s largest pool of first- time buyers.
The company aims at increasing passenger-vehicle sales in China by 8% to 22 million units by 2020, relying on the increased demand for SUVs and on the rising number of customers coming from smaller cities. During the first ten months of the year Hyundai sold 676,746 vehicles in China, up 11%, which means that there is the possibility of surpassing the 739,800 units sold in 2011.
Currently Hyundai has three plants in China, able to manufacture 1 million units. Yesterday, November 26th, the automaker celebrated its 4 millionth car rolling off the assembly line. Two months ago deliveries at Hyundai Motor increased 15% to 84,188 units, while Kia’s climbed to 43,639 units from 43,508 units, as September is a traditionally major shopping season in China.