Sales in China, the U.S. Remain Sluggish
Hyundai Motor and Kia Motors have moved their global production bases to emerging economies as sales in such key markets as the United States and China remain sluggish.
Hyundai Motor produced a total of 2,829,667 cars last year at its overseas plants in seven countries including India, China, the United States, Turkey, the Czech Republic, Russia and Brazil, the Korea Automobile Manufacturers Association (KAMA) said on Feb. 6. The figure represents a 0.3 percent drop from 2017.
Kia Motors made 1,228,870 units at its four overseas plants in China, Slovakia, the United States and Mexico, up 1.9 percent year on year.
Both companies saw their production in the United States and China shrink while that in India and Mexico increase considerably.
Hyundai Motor’s Indian plant produced 713,108 units, an increase of 5.2 percent from 2017. Production at its plants in Russia and Brazil increased 5.5 percent and 5.6 percent year on year to 246,500 and 192,855 units, respectively. On the other hand, its plant in China produced 806,214 units, down 2.6 percent from the previous year. Production at its U.S. plant slid 1.8 percent to 322,500 units while shipments from its plants in Turkey and the Czech Republic were down 10.6 percent and 4.3 percent at 200,003 and 345,490 units, respectively.
Kia Motors’ Mexican plant surpassed its U.S. plant in terms of output for the first time last year. Production in Mexico last year grew 33 percent year on year to 294,600. On the other hand, its U.S. plant declined 18.4 percent to 239,700 units. Production at its plant in Slovakia also shrank 0.8 percent to 333,000 units.