Newly Launched SUV Gaining Popularity
The labor and management of Hyundai Motor have agreed to ramp up the production of the Palisade by 40 percent as the large sport utility vehicle (SUV) is gaining popularity. As a consequence, the delivery time of the popular model will be somewhat reduced from the current nine months.
The two sides said on April 4 that they agreed to increase production of the Palisade by 2,400 units per month to 8,640 units from the current 6,240.
Hyundai Motor has produced the Palisade and the Starex at a ratio of one to one at its Ulsan 4 plant. The decision will adjust the production ratio to three to one, dialing up production of the Palisade. The labor and management of Hyundai Motor entered into negotiations on the expansion of Palisade production at the end of February.
Released in December 2018, the Palisade has been leading Hyundai Motor’s domestic sales. Hyundai aimed to sell 25,000 units in 2019 at the time of the launch of the Palisade but consumer response has been so positive that the total number of contracts has reached 60,000 units so far. Customers had to wait for up to nine months to receive the Palisade after inking contracts as the supply of the model could not meet demand.
The Palisade sold 5,903 units in January and 5,769 units in February, and 6,377 units were delivered to customers in March.