Park Jin-hai primarily focuses on K-dramas, entertainment shows and actor interviews. Beyond that, she also pens articles covering the broader arts scene, with a particular emphasis on classical music, dance and various aspects of lifestyle. Since joining The Korea Times in 2013, she has made significant contributions in the realms of hallyu (Korean wave), industry news and international affairs.
Hyundai Motor sales bottom out in China
By Park Jin-hai
Hyundai Motor sales are recovering in China after a months-long slump.
The company and its sibling Kia Motors sold a combined 156,575 cars in China last month, up 4.7 percent year-on-year.
Their market share in the world’s biggest automotive market reached 8.9 percent in October, compared to 8.4 percent a month earlier.
The figure is the third largest after Volkswagen at 17.4 percent and General Motors at 12.3 percent.
Hyundai and Kia have maintained their market share at between 10.4 and 10.5 percent since 2012. However, sandwiched between global auto giants armed with aggressive marketing campaigns and fast-growing local automakers, they have been struggling to hold on to their market share since early this year.
In June, their market share fell to 7.2 percent.
In August, Hyundai had a massive personnel shuffle in its China business, hoping to make a breakthrough in the troubled market. Hyundai and Kia have fought to earn back their market share, offering deep price cuts for their popular models and launching strategic models such as the new Avante compact, locally named Langdong, and the Sonata hybrid, both which will arrive in Chinese showrooms early next year.
Hyundai gained a little in August to 7.5 percent, followed by 8.4 percent in September, signaling the rebound is gaining force.
Experts say that Hyundai and Kia sales in China have bottomed and that growth will be more conspicuous in the fourth quarter.
Yoo Ji-woong, an analyst at eBest Investment & Securities, said, “Hyundai sales have been recovering since September. It will see faster growth in sales in the fourth quarter.”
He said Hyundai was enjoying the benefits of the Chinese government’s tax cuts on small cars, more than its rivals were.
Shin Chung-kwan, an analyst at KB Securities and Investment, agrees. “Given that Hyundai and Kia ranked top and fifth in the latest J.D. Power 2015 China Initial Quality Study, and customers’ images of those brands are improving, they are recovering from the June and July sales slump,” he said.
“With the new car launches, their market share will be on the rise.”
Kia will launch the latest Sportage SUV in February, and Hyundai will launch the Avante compact in March and the Sonata hybrid sedan during the first half of 2016.
The Avante is specially made for the Chinese market, with a larger body and customized for China’s roads.
The Sonata hybrid, using the Hyundai-developed downsized 2.0–liter Nu GDI engine, is designed to meet China’s tougher fuel efficiency standards, according to the company.