US demand brings production constraints at Hyundai image

According to the Hyundai US unit boss, Dave Zuchowski, the insatiable customer demand for the South Korean’s crossover models has led to the absolute need to build a new assembly facility.

Hyundai and Kia, sister automakers coming form the far-away Southeast Asian country, have been making their way through the ranks in the last decades, gaining popularity at a pace rarely seen before. The rapid rise prompted two interesting decisions – the top brass has ordered an unofficial plant cap to consolidate and iron out any reliability problems. Now, with the automakers seeing the US market on a crucial demand increase and with the European region finally recovering from a six-year slump, Hyundai and Kia has decided to finally begin upgrading its production output capacity by constructing new plants, not just expanding production at existing facilities.

Now, Zuchowski says Hyundai is ready to make the necessary steps to ensure a continued flow of units to satisfy demand, but before the automaker can open a new Hyundai plant, they would rely on their sister brand. “The final chapter has not been written,” commented the official, confirming though the $1 billion plant in Monterrey, Mexico, to be opened in 2016, is a Kia property. Zuchowski, who became CEO of Hyundai Motor America in December says the Kia plant could give them additional capacity and that another factory in West Point, Georgia, could also support the Hyundai brand.

Via Automotive News