Hyundai-Kia emerges as Top 5 OEM with 2010 sales of 5.7 M units; aims for 6.3 M units for 2011
Hyundai brand to go in new direction: "Modern Premium"
Hyundai-Kia Group shipped record 5.742 million units in 2010, an increase by 1.104 million units (23.8%) over the previous year. With this new record, the Group passed Ford (5.313 million units) and emerged as the world's fifth largest automaker (the first is Toyota (8.41 million units) followed by GM (8.38 million units), Renault-Nissan (7.28 million units) and VW (7.14 million units)).
Hyundai refreshed its non-consolidated results, not including its oversea subsidiaries, in the year ended December 2010. It posted sales of 36.8 trillion won (about 33 billion US$) and an operating profit of 3.2 trillion won (about 2.9 billion US$), up by 15.4% and 44.4%, respectively, over the previous year. Kia also set new highs in sales of 23.3 trillion won (about 21.1 billion US$) and an operating profit of 1.7 trillion won (1.5 billion US$) on a non-consolidated basis, up by 26.3% and 46.8% year-over-year, respectively.
Hyundai Group plans 2011 sales of a total of 6.33 million units- 3.9 million by Hyundai, and 2.43 million by Kia.
Hyundai's 2010 global sales up 23.8% to 5.74 mil units, aiming for 6.33 mil next year
In 2010, Hyundai-Kia had a record-setting global shipment volume of 5.74 million units, an increase of 1.104 million units-equal to 23.8% year-over-year. Of this, Hyundai sold 3.613 million units, up by 16.3% over the previous year thanks to strong exports and overseas production, although sales in Korea were down by 6.2% to 658 K units. On the other hand, Kia enjoyed brisk sales of 483 K units in its home, up by 17.5% year-over-year, and global sales of 2.13 million units, up by 38.9% year-over-year.
Hyundai-Kia aims for year-on-year growth of 10.2% in global shipment volume to 6.33 million units in 2011.
Hyundai-Kia's Shipment Volume
|(incl.) domestic sales||569,721||580,288||624,227||570,116||701,469||657,897||700,000|
|Vehicles produced overseas||636,339||885,828||900,858||1,112,726||1,493,162||1,881,805||2,070,000|
|(incl.) domestic sales||265,825||269,575||271,809||315,276||411,332||483,412||500,000|
|Vehicles produced overseas||243,182||266,090||245,505||342,836||391,568||729,655||930,000|
|(incl.) domestic sales||835,546||849,863||896,036||885,392||1,112,801||1,141,309||1,200,000|
|Vehicles produced overseas||879,521||1,151,918||1,146,363||1,455,562||1,884,730||2,611,460||3,000,000|
|Sources: Hyundai Sales Performance, Kia, Monthly Sales Performance|
|NOTES: 1.||Domestic sales mean sales in Korea. Exports mean exports from Korea, except KD parts.|
|2.||For Hyundai, data in the vehicles produced overseas column are shipment volume from its four main plants in China, India, Turkey and the US except finished vehicle CBUs from Korean plants. For Kia, these are KD exports from Korea until 2006, and shipment volume from its three main plants in China, Slovakia and the US after 2007|
Hyundai's export of Korean-made vehicles by region
|(1000s of units)|
Source: Hyundai, Sales Performance
Kia's sales by region on a retail basis
|(1000s of units)|
Source: Kia Monthly Sales Performance
US market: Hyundai-Kia expands share to 7.7% with brisk sales of Hyundai midsize sedan Sonata and CUV Kia Sorento
Hyundai-Kia posted 2010 sales of 894 K units in the US market, increased by 21.7%. Its US market share was up by 0.7 percentage points to 7.7%. Hyundai-Kia pressed hard on Nissan which has the sixth largest share of 7.8% in the massive market. The Group's sales were buoyed by the Hyundai Sonata midsize sedan, and the Kia Sorento CUV of which Kia started production in the US. In 2010, Hyundai and Kia sold 197 K units of the Sonata and 109 K units of the Sorento, respectively.
Hyundai-Kia's new vehicle sales by model in US
|Vera Cruz (iX55)||-||0||-||12,589||11,004||10,210||8,741|
|Light trucks total||118,521||129,054||128,204||163,641||109,495||109,397||125,015|
|Light trucks total||114,147||129,456||145,355||152,206||119,882||119,103||170,119|
|Hyundai-Kia Group total||688,670||730,863||749,821||772,482||675,139||735,127||894,496|
|Total market share||4.1%||4.3%||4.5%||4.8%||5.1%||7.0%||7.7%|
Source: MarkLines' Statistics
In 2010, Hyundai and Kia have record setting sales and operating profit
Hyundai refreshed its non-consolidated results in the year ended December 2010. It posted sales of 36.8 trillion won (about 33.3 billion US$) and an operating profit of 3.2 trillion won (about 2.9 billion US$), up by 15.4% and 44.4%, respectively, over the previous year. Its domestic sales were down by 2.9% over the previous year to 15.6 trillion won, although export sales were up by 34.1% to 21.2 trillion won, and this underpinned its business.
Kia also set new highs in sales of 23.3 trillion won (about 21 billion US$) and an operating profit of 1.7 trillion won (about 1.5 billion US$) in the same fiscal year on a non-consolidated basis, up by 26.3% and 46.8% year-over-year, respectively. Kia enjoyed brisk domestic sales and exports, which were up by 32.1% to 9.2 trillion won and by 22.8% to 14.1 trillion won, respectively.
Hyundai's non-consolidated business overview
|(Units in one billion won)|
|Operating income ratio||5.1%||4.5%||6.4%||5.8%||7.0%||8.8%|
|Income before tax||2,739||1,886||2,222||1,795||3,781||6,308|
Source: Hyundai 2010 Business Result
Kia's non-consolidated business overview
|(Units in one billion won)|
|Operating income ratio||0.5%||-0.7%||-0.3%||1.9%||6.2%||7.2%|
|Income before tax||689||73||25||68||1,700||2,776|
Source: Kia 2010 Business Results
Hyundai-Kia's consolidated business results
|(Units in one billion won)|
(One million US$)
(One million US$)
|Operating income ratio||3.9%||2.8%||4.1%||3.9%||6.1%||3.9%||6.1%|
|Income before tax||3,390||2,027||2,609||1,497||5,558||1,190||4,760|
|Net income ratio||4.2%||2.0%||2.3%||1.4%||4.4%||1.4%||4.4%|
|Source: Hyundai 2009 Consolidated financial statements|
|NOTES: 1.||The USD-won exchange rate was 1,257.5 won per dollar in 2008 and 1,167.6 won per dollar in 2009|
|2.||As of February 1, 2010, Hyundai-Kia Group has not announced its 2010 consolidated results.|
Hyundai Brand to go in new direction: "Modern Premium"
Hyundai revealed its new brand direction "Modern Premium" during the 2011 Detroit Motor Show. Hyundai will provide a value of inexpensive but quality products to customers who have never experienced or even expected such value.
New brand concept: "Modern Premium"
|Hyundai revealed its new brand concept "Modern Premium" during the 2011 Detroit Motor Show. Hyundai's new concept is based on the idea that high quality does not necessarily require a high price for a limited class; they will provide quality products at attainable prices to customers who have never experienced or expected such value.|
|Under the "Modern Premium" strategy, Hyundai will take "New Thinking, Now Possibilities" as the brand statement to provide customers with emotional value and to allow them to experience more than their expectations. This "New Thinking" has already been employed for the 2011 model Sonata and the Genesis.|
Source: Hyundai Media News 2011/1/11, Financial Times 2010/12/16
Model plans: Hyundai and Kia to launch Sonata Hybrid and Optima Hybrid
Hyundai will introduce the Sonata Hybrid with a fuel efficiency of 40 mpg (hwy) and 35 mpg (city) in the first quarter of 2011 in the US. Hyundai will also launch the 3-door Veloster within 2011. It was unveiled in the 2011 Detroit Motor Show. It has a unique layout-there are two doors on the passenger side. In the Korean market, Hyundai plans to launch the fifth generation of the large sedan Grandeur in 2011.
Kia will launch the Optima/K5 hybrid in Korea and the US in the second quarter of 2011, which is a sister vehicle of the Sonata. Kia compact cars will be launched one after another. Kia will introduce the A-segment Picanto/Morning and the B-segment Rio/Pride in countries within 2011.
Hyundai's new models
|Model name||Year of launch||Outline|
|August 2010||The Avante/Elantra is the fifth generation of the global bestselling small sedan Avante. This is known as Elantra outside Korea. It has a 4530-mm length-larger by 25 mm and a longer wheelbase by 50 mm than the predecessor generation. The North American model is produced at the Alabama Plant.|
|New i10||October 2010
|This is a new i10 model. The i10 Blue is equipped with a 3-cylinder 1.0-L engine. It emits only 99 g/km of CO2, and comes with a start & stop function and low rolling resistance tires.|
|ix20||Autumn 2010||The ix20 is a compact MPV belonging to the B-segment which was launched in the European market. It has an overall length of 4.1 m, and a relatively wider wheelbase of 2.615 m. As a result, it has a spacious compartment equivalent to the C-segment. Hyundai aims for annual sales of 55 K units of the ix20. It is produced at the Czech Plant. Kia's Venga is its sister model.|
|New Equus||October 2010
|The Equus is Hyundai's high-end sedan equipped with a 4.6-L V8 engine. Recommended prices are 58,000 dollars for the standard Equus Signature, and 64,500 dollars for the Equus Ultimate of which the rear bench seat is replaced with two bucket seats. The launch in Korea was March 2009.|
|Genesis Coupe||Q4 2010
|The Genesis Coupe is a coupe version of the Genesis. It is a RWD and has the options of a 2.0-L turbo engine (210JHP) or a 3.8-L V6 engine (303 HP). The launch in Korea was October 2008, in the US in February 2009.|
|Sonata Hybrid||Q1 2011
|The Sonata Hybrid is a hybrid version of the midsize sedan Sonata. It is equipped with a 2.4-L Atkinson cycle 4-cylinder engine, and a 270 V lithium polymer gel cell. The fuel efficiencies are 40 mpg (hwy) and 35 mpg (city). The Sonata Hybrid is sold at 25,795 dollars or higher.|
|The Solaris is a 4-door subcompact sedan which is developed for the Russian market (a sister model of Accent/Verna). It is the first model that the St. Petersburg Plant will manufacture in Russia. In the latter half of 2011, its 5-door hatchback model will be launched. Hyundai aims for annual sales of 85 K units.|
|Concept RB||Spring 2011
|The coupe-like subcompact sedan Concept RB was rolled out in the 2010 Moscow Motor Show. It has been produced at the St. Petersburg Plant since January 2011.|
|Veloster||2011||The Veloster is a 3-door coupe. It has a unique door layout-the third door is on the rear passenger side. It is equipped with a 1.6-L direct injection 4-cylinder engine and dual clutch transmission (6-speed) for the first time as a Hyundai vehicle.|
|The i40 is a D-segment vehicle for Europe. It will be unveiled in the Geneva Motor Show in March 2011. Wagon and sedan versions will be launched.|
|2011||The Grandeur/Azera is the fifth generation model of the best-selling large sedan in Korea. It comes with a new Lambda II 3.0-L direct-injection gasoline engine. The wheelbase is expanded by 65 mm from the predecessor model. Hyundai plans to sell the Grandeur outside Korea as Azera, starting in 2012.|
Source: Hyundai News Release 2010/8/3, 8/25, 10/01, 2011/1/11, 2011/1/13, Hyundai US News Release 2010/9/20, 10/19
Kia's new models
|Model name||Year of launch||Outline|
|New Optima/K5||May 2010
|The Optima/K5 is the third generation midsize sedan, which is a sister model of the Hyundai Sonata. It is both longer and wider but lower than the previous generation. It was launched under the name of K5 in Korea in May 2010 and Optima in the US in January 2011. In China, a local model will be rolled out under the name of Optima in March 2011. In Europe, it will be launched under the name Magentis in July 2011.|
|Q2 2011||The Optima/K5 Hybrid is the Kia's first gasoline hybrid car based on the midsize sedan Optima. It will be launched in the second quarter of 2011 in Korea and the US.|
|The Picanto (Morning in Korea) is a new A-segment compact city car. The car body is larger than the previous generation, and the trunk space is expanded by 27%. The Picanto/Morning is sold in 3-door and 5-door hatchback models. It is equipped with 1.2-L 4-cylindar engine and realizes a fuel efficiency of 4.2 to 5.9 L/100 km. Its derivative model will be launched in Korea in the third quarter of 2011.|
|New Rio/Pride||September 2011
(Europe and US)
|A rough drawing of the next generation B-segment Rio (Pride in Korea) was uncovered in January 2011. It is both longer and wider but lower than the current model. It will be rolled out in the Geneva Motor Show in March 2011 as a plan. The Chinese model will be launched in June 2011.|
Source: Kia Immediate Release 2011/1/12, 1/26、Kia 2010 Business Results
Hyundai unveils FCEV and EV concept subjected to verification test
Hyundai unveiled the third generation fuel cell model of the Tucson ix Fuel Cell Electric Vehicle subjected to a verification test in December 2010. It is to attempt commercial production of the FCEV from 2015. Hyundai also rolled out EV BlueOn in September 2010. Hyundai will conduct a verification test on 30 of the BlueOn with the Korean Government, aiming to develop battery charging infrastructure. Kia presented a super mini three-seat EV Kia Pop concept in September 2010.
Hyundai's 3rd generation FCEV, Tucson ix Fuel Cell Electric Vehicle
|Outline||Hyundai unveiled a third fuel cell vehicle, the Tucson ix Fuel Cell Electric Vehicle (FCEV) in December 2010. It will start a verification test from 2011 and limited production from 2012, attempting mass production from 2015.|
|Performance||The FCEV is able to travel 650 km per charge. It hits a top speed of 160 km/h, and its engine turns over at as low as minus 25 degrees Celsius.|
|Fuel cell||The fuel cell delivers 100 kW, equipped with a tank of 5.6 kg hydrogen gas (the maximum fill pressure is 700 bar).|
Source: Hyundai News Release 2010/12/22
Hyundai's EV BlueOn
|Outline||Hyundai unveiled its first electric vehicle, BlueOn, in September 2010. It is based on the compact hatchback i10. Hyundai invested 40 billion won in development of the BlueOn in the past year.|
|Verification test||Hyundai will conduct a verification test on 30 of the BlueOn with the Korean Government until August 2012. It aims to develop and test battery charging infrastructure.|
width and height
|3585-mm length, 1595-mm width and 1540-mm height|
|Battery||Lithium polymer gel battery (a storage capacity of 16.4 kWh)|
|Charging time||Charging from home outlet (220 V): 6 hours (full charge)
Rapid charging (380 V): 25 minutes (80% charge)
|Motor||Delivers 81 ps (61 kW) and a torque of 210 Nm at maximum.|
|Driving performance||Maximum speed of 130 km; and acceleration: 13.1 seconds from 0 to 100 km/h|
|Production plan||Hyundai will start limited-production of the EV from 2011, and produce 2500 units by the end of 2012 to deliver to the Government.|
Source: Hyundai News Release 2010/9/16
Kia Pop EV concept
|Outline||Kia unveiled a three-seat super mini Kia Pop EV Concept in the Paris Motor Show in September 2010. The body is monochrome and uniquely designed that the windshield reaches the roof top.|
|Motor||Delivers 60 ps and a torque of 190 Nm at maximum|
|Driving performance||Maximum speed of 140 km/h, and able to travel 160 km per charge.|
Source: Kia Immediate Release 2010/9/30,
Hyundai breaks ground for a 3rd plant in China, while Hyundai's Russian plant and Kia's US plant start operations
Hyundai-Kia is expanding plants abroad. Hyundai broke ground for a third plant in China with an annual production capacity of 400 K units near Beijing in November 2010. On the other hand, it started commercial production at the Russian Plant in January 2011. Kia also started commercial production in the US plant in February 2010.
China: Hyundai breaks ground for its 3rd Plant, while building an AT Plant in Shandong
|Third Chinese plant||Beijing Hyundai Motor Company, a 50-50 venture between Hyundai and Beijing Motors (BHMC), broke ground for the third plant near Beijing in November 2010. It will be completed in July 2012. It will have an annual production capacity of 400 K units. Hyundai's production capacity will reach one million units per year by 2012 including the existing first and second plants. There are plans to produce compact cars or midsize vehicles for the Chinese market.|
|AT plant||Hyundai-Kia started building a transmission plant, Hyundai Powertech Automatic Transmission (Shandong) Ltd. in Rizhao city of Shandong province in December 2010. Hyundai invested a total of 290 million Yuan. The plant will produce automatic transmissions for passenger vehicles with an annual production capacity of 800 K units. The first construction (an annual production capacity of 400 K units) will be completed in December 2011.|
Source: Hyundai News Release 2010/9/16, 11/30 and others
Hyundai starts production at its Russian Plant
|Hyundai opened its Russian Plant (Hyundai Motor Manufacturing Rus (HMMR)) in September 2010, which stands in St. Petersburg. The plant was used for test production until the end of 2010. It started commercial production from January 2011. HMMR aims to produce 105 K units per year in 2011, and is expecting to have annual production of 150 K units in 2012. It plans to produce the subcompact sedan Solaris and RB both of which were developed for the Russian Market, and Kia's compact car Rio.|
Source: Hyundai News Release 2011/1/19
US: Kia starts operation of US Georgia Plant
|In February 2010, Kia started full operation of the Georgia Plant (Kia Motors Manufacturing Georgia (KMMG), Inc.) which is Kia's first US plant. Kia invested one billion dollars in the plant with a production capacity of 300 K units. It has been manufacturing the CUV Sorento since November 2009.|
Source: Kia Press Release 2010/3/2
Mid-term Production Forecast by IHS Global Insight
Hyundai : Light vehicle production by Country (IHS Global Insight Forecast)
Source: Global LV Production Data (as of 7 Dec. 2010)
- 1. Data indicate figures of only small-size vehicles, including passenger cars and light commercial vehicles with a gross vehicle weight of under 6 tons.
- 2. Figures for 2008 and 2009 indicate actual production results.
- 3. All rights reserved. Reproduction of any data will require permission of IHS Global Insight.
Automotive: India: Hyundai to Increase Prices in India from January 2011
2010-12-07 – Hyundai will increase the prices of its models in India by up to 2% from January 2011 onwards, reports the Hindustan Times. The company cites the continued increase in input costs as the reason behind the planned increase. Hyundai India director (sales and marketing), Arvind Saxena, said, "We have been absorbing [the] increase in input costs but now we have decided to pass it marginally to customers. From January onwards, there will be an increase in prices of vehicles by 1.5% to 2%.''
Significance: Hyundai's announcement follows similar moves by Maruti Suzuki and General Motors (GM). Automakers in India have been increasing their prices at the start of the calendar year for the past couple of years now, citing increasing input costs as the principal reason. A positive side-effect of these price rises for the automakers is that there is a marginal uplift in year-end sales, during what is a traditionally slow period for the Indian market. Input costs are not expected to stabilise in the medium term and other automakers in India are likely to announce similar price increases applicable from January 2011.
China: Hyundai Beijing Auto Starts Work on Third Plant, Kia's Chinese Sales Top 300,000 Units
2010-11-29 – Beijing Hyundai yesterday broke ground at the site of its third plant in China, which will eventually give the joint venture the capacity to produce 1 million units in the country annually, while affiliate Kia has announced that it has exceeded the 300,000-unit sales mark already in 2010.
IHS Global Insight Perspective
|Significance||Hyundai yesterday broke ground at the site of its third plant in China with joint venture (JV) partner Beijing Auto as it looks to move into upmarket segments.|
|Implications||Meanwhile, affiliate Kia and its JV partner Dongfeng Yueda have announced that they have surpassed the 300,000-unit sales milestone in China this year, eclipsing 2009's full-year total.|
|Outlook||Hyundai's move to expand production further comes as it will exceed its maximum installed capacity in China this year. However, its shift into premium segments still carries some risk as the higher up it aims, the less compelling the case becomes for both Hyundai and Kia.|
Hyundai Motor Company and its Chinese joint-venture (JV) partner Beijing Automotive Industry Holding Company (BAIC) broke ground at the site of its planned third facility yesterday, according to a Reuters report. At a ceremony to mark the occasion, BAIC chairman Xu Heyi said that the plant will help address the JV's current undercapacity in the country. "When the third plant is up and running, Beijing Hyundai will speed up the introduction of Hyundai's medium-to-high end models to further expand its portfolio", Xu said. Bejing Hyundai is on target to sell about 700,000 cars in China this year, exceeding its current annual capacity of 600,000 units at its two existing facilities. The new plant will be based on the outskirts of Beijing and will give the JV a further 300,000 units of annual capacity by July 2012, rising to 400,000 units eventually, Xu said.
Meanwhile, Hyundai affiliate Kia Motors has announced that its sales in China have exceeded the 300,000-unit mark already this year. In a company statement reported by the Yonhap news agency, Kia said that its Chinese sales as of 28 November had hit 300,004 units, a 45% year-on-year (y/y) increase and eclipsing 2009's full-year sales total of 241,300 units. The company now expects its Chinese sales to reach 330,000 units in 2010. Kia attributed the lift, which is above the market rate, which is currently running at around 30%, to the release of new models such as the Sportage R and the Soul, which have captured interest from young Chinese car buyers.
Kia has achieved instant success with its new Sportage R, which was released in China last month, and managed to secure 5,000 unit sales in its first month, indicating that the sharply styled new sport utility vehicle (SUV) is attracting interest from the off. In addition, Kia also said that sales of the Soul, the quirkily styled multi-purpose vehicle (MPV) introduced in China earlier this year, have reached 16,435 units already and the model is showing strong signs of becoming a volume player along with its subcompact sedans, the Forte and the Cerato.
Beijing Hyundai is also planning an upmarket model offensive, partly facilitated by its new plant when it comes on stream. Beijing Hyundai, which competes in the Chinese marketplace with the Accent, i30, and Verna sedan models and the ix35 and Tucson SUVs, will roll out its upscale Sonata sedan next year, Hsiu-Fu Wang, the company's vice-president, said at the Beijing event. Wang added that Hyundai will add its newest models, including an SUV, in the upmarket segments after the third plant is up and running in 2012. Wang said that car sales could grow by between 10% and 15% in China next year and beyond, and shrugged off concerns that Beijing Hyundai could end up with excess capacity as a result of the new plant. Hyundai's growth in China is currently around 23% from 2009.
Outlook and Implications
Hyundai and affiliate Kia are progressing at pace in China, although Hyundai's growth this year, it should be noted, is well below the average market rate of around 35% y/y for passenger cars. Hyundai has identified capacity constraints as its main problem, but the move into higher-priced segments is also a clear indicator that the competition in the lower end of the market is becoming ever more intense as the indigenous Chinese carmakers improve their products and grow more appealing to consumers. Hyundai needs to begin to distance itself from the budget end and position itself in the mid-mass-market position towards which its quality, technology, and designs now lean.
Further evidence of the company's aggressive expansion plans in China came with the recent announcement that Hyundai had agreed a separate new commercial vehicle (CV) JV, which will see it expand into medium and heavy commercial vehicle production in the country. As announced in October, Hyundai plans to establish a 50:50 CV JV with Chinese-based CV manufacturer Ziyang Nanjun Automobile. The JV will initially be capitalised at 500 billion won (US$442.4 million) and will produce a full line-up of buses, trucks, and engines. The JV will initially use Ziyang Nanjun's existing production facility in the country and will also accelerate its product development efforts in order to improve the quality and features of the current crop of CV models. The JV will also start building a new plant in Sichuan Province as early as the start of next year in an attempt to launch new models customised for local conditions in China. The automaker plans to sell 90,000 CVs in the country during 2011, with an eventual target of achieving 5% of the CV market (sales of almost 300,000 units) by 2015. Hyundai currently imports CVs from South Korea for sale in the Chinese market.
Meanwhile, Kia and JV partner Dongfeng Yueda is growing well ahead of the market rate (45% y/y), and that is largely thanks to the sharp new designs emanating from its European design studio and its much-improved quality, combining to offer a compelling value-for-money proposition. The combination of the former is actually driving Kia's growth globally and is not restricted to emerging markets as it gains ground in Europe and North America. Indeed, Kia is the driving force behind the Hyundai-Kia Group's sales in China. For November, sales across its JVs stood at 88,488 units (up 24% y/y) in the month, while its year-to-date (YTD) sales are up 32% y/y at 845,925 units, driven by Kia's success.
The major hurdle to Hyundai's Chinese ambitions will come in the form of competition, which is set to intensify with the slowing growth rates. In the fast-expanding market of the last two years, the major players have all profited handsomely; but as growth rates slow to the low double-, high single-digit range, pricing, design, dealer experience, and brand image will begin to have greater influence. Hence, Hyundai's strategy to introduce high-end products at its new plant is the correct move. Whether it is as successful as it hopes it will be is less straightforward to predict. Hyundai, and Kia for that matter, provides a compelling proposition in the budget and mass-market segments, but the higher it goes, the more intangible factors begin to exert their force, and it is in these areas that Hyundai-Kia is still lacking.