By on July 1, 2011

Carmakers the world over are looking towards Korea where Hyundai reported sales results for June today. Hyundai’s global sales rose 12.3 percent to post a monthly record in June. Kia has not released official results yet, but Reuters says that  “Kia’s June sales surged 22 percent.”

To bridge the time until Kia reports hard numbers for June, we did some spreadsheet acrobatics and arrived at the attached. The black numbers are hard reported numbers, the grey numbers are calculated. If Reuters’ 22 percent are correct, then the June table for Hyundai-Kia should look something like this:

June’11 June’10 Change YTD ’11 YTD ’10 Change

Hyundai
352,255 313,579 12.3%
1,951,557

1,764,535
10.6%

Kia
217,637 178,391 22.0% 1,205,648 990,261 21.8%
Group 569,892 491,970 15.8% 3,157,205 2,754,796 14.6%

Having crossed the half year mark, we will get half year global results for all large automotive groups – including GM. We are expecting a big shake-up on the global rankings for 2011, and the June results will be a pretty good indicator for where the year should end up.

Hyundai said on Thursday it was to raise U.S. auto sales by 18.2 percent this year to 1.06 million vehicles, Reuters says.

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24 Comments on “Hyundai-Kia With Double Digit Growth In June And The First Half Of 2011...”


  • avatar
    zeus01

    None of this surprises me in the least. Over the last six years Hyundai has been doing something that bailed-out GM and Chrysler should have been (and certainly could have been) doing all along: Building. Better. Cars.

    And for the last couple of those six years Hyundai has been building not only excellent cars, but also well-equipped, competitively-priced, decently styled and designed cars that people actually wanted to buy. This has left the likes of Honda, Toyota and Mazda scrambling to catch up, and all the lesser manufacturers wondering what the frak happened.

    I rented a 2011 Elantra last week for a few days. With the exception of the automatic transmission (good luck finding a rental outfit stupid enough to rent cars with manual transmissions) I was definitely sold. Our next car will likely be one of these. I’ll take a GLS 6-speed manual please. Dark blue…

  • avatar
    Bryce

    Hyundai and Kia began by building Japanese cars under licence so improving on those cars is second nature for them Nobody builds worse cars than the D3 and nobody ever has so its no surprise the Koreans are topping the sales charts they are making better cars than anyone else at prices people are prepared to pay

    • 0 avatar
      mike978

      Really? No body builds worse cars than the D3? Maybe you missed how the Focus, Fusion, Cruze and Malibu (all cars I believe) are doing well in sales and reviews. Are they the best in their segments, probably not, but are they competitive and popular – yes. I don`t believe as a matter of fact that Hyundai have topped the charts – the Sonata and Elantra are around fourth place in their respective segments. Admittedly the gap between first and fourth is much smaller nowadays.

    • 0 avatar
      PenguinBoy

      @Bryce – I believe you are from AUS, do you even have any direct experience with current American cars?

  • avatar
    kitzler

    Fresh styling and reasonably priced, you cannot beat the combination, why can’t Detroit copy that formula, it would have saved a lot of taxpayer money.

    • 0 avatar
      mike978

      Isn`t that what they are doing now? I agree if they had done more of it in the past they probably wouldn`t have been in the position they were in 2009.

      • 0 avatar
        highdesertcat

        mike978, they probably are doing a lot of improving now but they still have lost a great number of former customers who are not about to reward them for their sins of the past and the shoddy cars they made. That would be the ultimate in retro.

        There have been many comments on this and other boards where the author wrote that they did not know what a great car experience was until they bought a foreign brand. Hyundai and Kia owners are enjoying a great ownership experience right now and the best warranty coverage in the industry. That makes it a good thing.

        Everything else remaining equal, why would anyone go back to a domestic company that gave them a lousy ownership experience in the past? The lousy ownership experience is exactly why those people joined the mass exodus away from the domestic car manufacturers.

        All I see is die-hard Buy American fans buying Ford and GM. But I also think that they alone are not enough to reverse and sustain the fortunes of Ford and GM.

      • 0 avatar
        sitting@home

        “customers who are not about to reward them for their sins of the past and the shoddy cars they made”

        I had a Hyundai Excel once; probably the dictionary definition of “piece of crap”. The Chevette I had before it was superior in every single way.

        So should I reward Hyundai for their sins of the past and the shoddy cars they made, and look at them again in the future ? GM may have siphoned money from my taxes, but Hyundai took it directly from my bank account.

      • 0 avatar
        highdesertcat

        sitting@home, of course you should not buy another Hyundai! I disagree with you on the Chevette because we bought a new 1980 Chevette and ours was a POS. We kept it for two years before we traded it in 1982. Easily the worst car we ever owned at a time when we could least afford a lemon.

        I’m sure that there are people who had problems with their foreign brand vehicles as well but my point is that there are more people who had problems with the domestic vehicles who have since switched to buying foreign brands. That’s why the reversal of fortunes for the domestic brands over the past forty years.

        The best approach when you go shopping for a new vehicle is to look at what each brand, domestic and foreign, offers in the class that you want, and then evaluate for yourself which is the best in quality and value for the money.

        What we see way too often is that the Buy American fans want us to buy a Ford or GM product sight unseen or for patriotic reasons without giving equal weight and equal time to everything else that is available to us out there. Choice! What a concept!

        But Hyundai/Kia changed all that. They positioned themselves to where many people who look over a Hyundai/Kia product find that they offer unbeatable value for the money. That’s why Hyundai/Kia cannot meet current demand for its products.

        I’m all for choice. The more the merrier, and may the best products win. History showed us that the best products did indeed win. GM died. Chrysler died. Ford was just barely breathing in 2008 and hocked up to its Blue Oval. All the foreign brands and imports in America won, including Hyundai/Kia. It remains to be seen if Hyundai/Kia can keep up this momentum they built. They’ve got a good thing going and are making lots of money for their dealers.

  • avatar
    Chiburb

    Hyundai should thank Sajeev. Or at least I should. That 5 star review of the Genesis in 2008 convinced me to try it, and now I’m driving an Equus. I have never aspired to own a 7 series, S class, A8, or LS so “badge snobbery” was/is never an issue. But here I am driving a car that is compared (mostly) favorably with those at a price of $56K.
    Good for me, good for Hyundai.

  • avatar
    PintoFan

    Everyone wants to pretend that Hyundai/Kia is taking away the remainder of Detroit’s market share, but the sales numbers for the C and D segment cars pretty much prove that isn’t the case. No, that giant sucking sound you hear is Toyota and Honda losing sales hand over fist. It’s the sound of Mazda and Subaru being pushed out of the commuter segments entirely, and being reduced to zombie brands on par with Mitsubishi.

    • 0 avatar
      PenguinBoy

      +1

      I don’t see this trend changing anytime soon. With the Yen as high as it is Japan INC will have a hard time competing with the Koreans and a resurgant Detroit. It seems the Japanese have also become complacent, and let some of their formerly class leading product fall behind. Compare the changes in the recently refreshed Civic and Corolla with the changes in the latest Elantra, or Focus or Cruze…

    • 0 avatar
      highdesertcat

      Toyota and Honda have the most to fear from Hyundai. And they fear them. They said so themselves. The buying public benefits from all this competition. Lower prices, better cars, more choice. I say bring on more competition, more choice. Good for us. Not so good for Ford and GM.

      • 0 avatar
        PintoFan

        Toyota and Honda have both said they fear Hyundai. But they haven’t done anything to act on this- unless you count stripping more content out of their cars. In the short run, it’s in Ford and GM’s interest to see Toyota and Honda dislodged from the economy and sedan segments by any means necessary, because that gives them the opportunity to go after those consumers who used to buy Japanese brands exclusively. Don’t underestimate the psychological effect of the breaking of Toyhonda’s stranglehold on these markets. When consumers realize that there are other places to get decent cars besides the Japanese, that plays to everyone’s benefit- not just the Koreans. The sales of the Cruze, Malibu, Fusion, Focus, and even the 200 are proof enough of this.

  • avatar
    brettc

    I had a 2001 Accent that was purchased new. It wasn’t a bad car until the TCM failed 3 times in a row and we decided to dump it (after Hyundai fixed it yet again for free). So if they’ve vastly improved quality in the last 10 years, which I think they have – they deserve the success they’re seeing in North America. I won’t own another one because I prefer VW TDIs, but they’re obviously doing a lot of things right and have actually learned from their mistakes. Too bad it’s taken Detroit a near-death experience to learn that they were doing everything wrong. And we don’t know how well things like the 2011 Cruze and Focus will fare long-term. At least Hyundai still offers the 10/100000 warranty for anyone that still doubts their quality. That warranty was great when we owned our Accent. Not sure why the bailout triplets aren’t offering something similar.

  • avatar
    Educator(of teachers)Dan

    No real suprises here. I took a driving trip from Gallup, NM to Ottawa, OH (with a side trip to Frankenmuth, MI) this June and back again. After a few days on the interstate the thought that went through my head was… “Damn, Hyundai and Kia have sold quite a few cars in the last several years.” If you can make inroads with a quality product, then you’ve got a chance to be profitable and sell your product for a sustainable price. I think GM, Ford, and Chrysler have finally learned that lesson.

    Now when I got to the tiny little rural corner of Ohio I grew up in, it was all GM, Ford, and Chrysler just as it was back in 1995 when I graduated high school. “Foreign” cars were still the outliers (although my Dad and I had an illuminating converstation about how he would consider ANY car that was actually assembled in a factory in the USA.)

    • 0 avatar
      Chiburb

      This! On a 2500 mile roundtrip Chicago to Florida, I could not believe the number of Kias on the interstates! All shapes and sizes too.

      • 0 avatar
        highdesertcat

        A lot of them are rentals. But that does not matter because the name of the game is to sell! The domestic manufacturers have done it for years, selling large numbers of their vehicles to fleet and rental sales. The difference now is that the foreigners have caught on and are flooding the market with inexpensive, throw-away cars. The buying public benefits from this, and I am a staunch proponent of more choice, more brands, more manufacturers selling in the US. For decades the domestic brands were overpriced for the value received. Buyers recognized this and switched to foreign brands to receive better quality and greater value for the same money.

      • 0 avatar
        bd2

        The no. of renatals for Kia and Hyundai have dropped quite a bit (esp. for Hyundai).

        For month of May, Hyundai’s % of fleet sales was 7% (11% for the year); that’s a significantly lower fleet percentage than what Toyota had for the Camry last year.

  • avatar
    JMII

    As I said in the post yesterday about Hyundai expanding with a new factory here in that states: my mother just bought a ’11 Sonata Turbo, its the first “foreign” car they have purchased since a late 70s VW Rabbit. My parents previous rides have been: Chevy S10 Blazer, Ford Ranger, Chevy TrailBlazer, Saturn Coupe and then another Saturn Coupe. Mom loved her Saturns but since the brand folded she was SOL. The only other vehicle they considered strongly was a Nissan Altima, no more GMs for them. I told them to look at Ford Fusion, but Hyundai has the right product at the right price. My parents decision was based on excellent value (bang for you buck) with high MPGs and something Honda and Toyota lack right now: style!

  • avatar
    bd2

    Hyundai and Kia are doing quite well (tho I suspect their momentum to be slowed as they increasingly face capacity issues and as competitors launch new models), but don’t quite understand the vitriol directed at the domestics.

    Ford is on quite the tear as well, having under a 30 day supply for the Focus, Fiesta and Explorer.

    GM’s Lambda CUVs are still selling well and the Cruze is a hit; and according to the early reviews, the new Sonic should be a real contender in the subcompact segment.

    Even Chrysler’s new products (the ones that got a real change) like the 300 and Jeep Grand Cherokee have been winning over the critics.

  • avatar
    Steven Lang

    Back in 2008 I was recommending the Hyundai Sonata and Ford Fusion for folks who wanted a midsized sedan for less than the typical Camcord premium.

    http://www.thetruthaboutcars.com/2009/01/review-2009-hyundai-sonata-gls/

    I just don’t see how they appeal to the enthusiast crowd. The Sonata and Elantra are pretty much the 13th version of vanilla in their respective segments.

    • 0 avatar
      Educator(of teachers)Dan

      http://www.thetruthaboutcars.com/2009/01/review-2009-hyundai-sonata-gls/

      As a TTAC reviewer said, “It’s a great car for people who don’t paticularly care for cars.”

      • 0 avatar
        mtymsi

        Steve,

        Are you saying the current or the previous versions of the Sonata & Elantra are the 13th flavor of vanilla?

        IMO the current models are as stylish as anything in their segments and much more stylish than the Toyota & Honda models.


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