Hyundai-Kia Group: Declining profitability since 2013

New plants in China and Mexico to increase supply and mitigate won's appreciation

2014/09/05

Summary

Shipment Volume

Consolidated Operating Profit

 Hyundai Motor Company Group's shipment volume increased sharply by 1.07 million units year-on-year (y/y) in 2010, and by 855,000 units y/y in 2011. Since then, Hyundai shelved new plant construction plans in order to address quality control and other impending issues, focusing on internal improvement efforts.

 Hyundai and Kia registered an increase in operating profit and maintained a high performance level that overwhelmed other global OEMs in 2012 with 10.0% and 7.5% operating profit margin, respectively.

 However, the group faced a number of issues emerging from won's appreciation, tensions in labor-management disputes, overstatement of fuel efficiencies of their vehicles, and declining market shares in domestic sales resulting from rapid in-flow of imports. They were respectively a blow to the favorable business environment that has contributed to the group's rapid growth and high profitability in recent years. Won's appreciation, in particular, was the biggest blow that is now causing a sluggish growth in sales revenue and profits despite the increase in wholesale volume.

 Both Hyundai and Kia ended the year 2013 with the first decline of operating profit since they shifted to the K-IFRS reporting system in 2010. This trend continued through January-June 2014. Between the two companies, the decline of profit margin is larger for Kia that has a higher export ratio from Korea (Hyundai and Kia are still enjoying high operating profit margin in January-June 2014 at 9.1% and 6.3%, respectively).

 Hyundai-Kia Group's global production capacity at the end of 2014 will be approximately 8 million vehicles. Hyundai's new plant will start operations in Chongqing, China, starting in 2016 with annual capacity of 300,000 vehicles. In August 2014, Kia announced plans to build a new plant in Mexico with an annual capacity of 300,000 vehicles.

 Hyundai-Kia Group aims to strengthen their supply capacities and mitigate the impact of won's appreciation by supplying from new plants in China and Mexico. However, many of the adverse situations are still casting shadows over them.


Related report: Hyundai Group revises policy of rapid growth and prioritizes quality (Aug. 2013)




Operating profit declining since 2013; revenue declining in 2014

 Hyundai ended 2013 with 3.4% growth y/y in revenue and 1.5% decline y/y in operating profit. The company reported a slight decline in revenue at 0.3% and 5.8% decline in operating profit in January-June 2014. Hyundai reported 1.9% decline in revenue along with 13.3% operating profit decline in April-June 2014 during which the company suffered from won's high appreciation in particular. The market situation was worse for Kia that reported 0.8% slight growth in revenue along with 9.8% operating profit decline in 2013. Kia reported 0.9% decline in revenue and 17.8% decline in operating profit in January-June 2014. The situation even worsened for Kia, as it did for Hyundai, in April-June 2014 during which Kia reported 8.1% decline in revenue and 31.7% decline in operating profit.

 According to Hyundai, the company's sluggish growth is due to won's appreciation, decrease in production resulting from strikes, and tough competition in home market. Hyundai plans to strengthen quality, fuel efficiency and other basic performances of its vehicles to win top-class competitiveness in those areas.

Consolidated Results

(KRW Billion)
2010 2011 2012 2013 2013 1H 2014 1H
Hyundai Sales Revenue
Operating Profit
Margin (%)
66,985
5,918
8.8%
77,798
8,029
10.3%
84,470
8,441
10.0%
87,308
8,316
9.5%
44,551
4,275
9.6%
44,402
4,026
9.1%
Recurring Profit
Equity Earnings
Net Profit
7,492
1,682
6,001
10,447
2,404
8,105
11,610
2,582
9,061
11,697
3,057
8,994
5,939
1,413
4,611
5,620
1,351
4,378
Kia Sales Revenue
Operating Profit
Margin (%)
35,827
2,490
7.0%
43,191
3,499
8.1%
47,243
3,522
7.5%
47,598
3,177
6.7%
24,197
1,831
7.6%
23,980
1,505
6.3%
Recurring Profit
Equity Earnings
Net Profit
3,323
982
2,698
4,722
1,337
3,519
5,164
1,414
3,865
4,829
1,320
3,817
2,440
617
1,965
2,385
788
1,900
Source: Consolidated statement of income from both companies
(Notes) 1. In 2011, listed companies in Korea were required to shift from K-GAAP to K-IFRS accounting standard when filing their financial reports (above figures for 2010 have been converted into K-IFRS figures).
2. The K-IFRS requires that all subsidiaries in which the parent company has more than 50% share are to be consolidated. Hyundai had 33.88% share in Kia as of December 31, 2013, and Kia is not fully consolidated in Hyundai's consolidated financial reports prepared based on the K-IFRS. An equity method is applied to Kia under which its equity profits are reflected in Hyundai's consolidated net profit.
3. Kia's financial reports are also prepared based on the  K-IFRS standard since 2010.

 

 



Korean won becomes stronger to KRW 1,020 to USD in August

 KRW's exchange rate to the dollar fluctuated between KRW 1,100 and 1,200 after 2010. The won has grown stronger especially since April 2014. The exchange rate soared to around KRW 1,020 to the dollar toward the end of August, far higher than what is considered fair by exporters in Korea (KRW 1,073 to the dollar, see Note). The won's high appreciation is reportedly due to Korea's huge current account surplus (5th highest in the world at KRW 82 trillion in 2013) and in-flow of foreign money resulting from the unprecedented monetary easing among advanced countries.

 The won is also becoming stronger to the Japanese yen. The exchange rate rose from KRW 100 to JPY 7 in December 2012 to JPY 8 in January 2013 and to JPY 10 after June 2014.

KRW/USD Exchange rate at Hyundai

2008 2009 2010 2011 2012 2013 2014 1H
1,102.6 1,276.4 1,156.3 1,108.1 1,126.9 1,095.0 1,048.8

Source: Hyundai Motor Investor Presentation June 2014
(Note) The exchange rate considered fair by exporting companies in Korea was KRW 1,073 to the dollar in average as of May 2014 (according to Nihon Keizai Shimbun dated June 22, 2014).

 

 



Time-limited strikes on base wages for overtime payment

 In December 2013, Korea's supreme court reached a verdict that part of the bonus be included in the base wage that is used to calculate an employee's overtime payment.This court decision is the biggest issue in labor-management negotiations among all industries in Korea in 2014. Negotiations at Hyundai broke down and the labor union went into a time-limited strike at the end of August 2014 (the third year of strikes in a row).

 In March 2013, Hyundai management agreed to discontinue late-night shifts. The work hours were shortened by 3 hours and the new work hours were set to from 6:30 a.m. to 1:10 a.m. of the following day.

 The average salary among Hyundai's employees is said to be very high at KRW 94 million. Yet, it takes Hyundai 30 hours to produce a vehicle in Korea, which is nearly double the time required at plants overseas. It is said that Hyundai's plants in Korea are becoming less competitive because of these conditions.

Court decision and labor-management talks in Korea in 2014

Overtime pay to be calculated on a larger base  In December 2013, the Korean supreme court reached a verdict regarding overtime payment for employees. Conventionally, overtime payment and holiday work allowance in Korea was calculated based on the base payment (base salary and managerial allowance). The court decision demands that the fixed portion of bonus that is unaffected by individual or the company's performance be added to the base payment as the new base of overtime pay calculation.
 Many labor unions in Korea have taken legal actions about the range of normal pay and the court decision is expected to rule them. In some trial calculation, the labor cost will increase by KRW 2,500 billion a year across auto industries.
 According to JETRO's Seoul office, many Japanese companies operating in Korea feel that the court decision has a great impact on their business and that they would have to review their payment systems accordingly.

Labor-management negotiations in 2013

Pay raise  In September 2013, Hyundai's labor and management agreed to a monthly raise of KRW 97,000.
Maintaining production at home  They also agreed to maintain a production volume in Korea at 1.74 million vehicles and put priority on plants in Korea when producing all-new models. The labor union demanded a minimum production quantity in Korea as they feared that Hyundai was increasing production in foreign countries.
 This agreement will work as a constraint when Hyundai decides to reduce production in Korea and increase production capacities at overseas plants. It is said that the time required to produce a vehicle at Hyundai's plants is 15.4 hours in the U.S., 18.8 hours in China, and 30.5 hours in Korea.
Decreased production due to strikes  It is said that Hyundai's production quantity decreased by 130,000 units due to strikes in the spring and the summer in 2013. The low output is causing slow sales in the U.S. that has a high import ratio from Korea (36.1% for Hyundai-Kia Group in 2013).

Source: Nihon Keizai Shimbun September 18, 2013/December 19, 2013/December 28, 2014, Nikkei Sangyo Shimbun July 15, 2014, JETRO press release January 6, 2014
(Notes) After talks in 2012, Hyundai's labor and management agreed to abolish late-night shifts starting in March 2013. The conventional work shifts (10 hours each in the daytime and at night including two extra-work hours) were replaced by 8-hour early shift and 9-hour late shift including one-hour extra-work time. Work hours are between 6:40 in the morning and 1:10 in the morning of the following day. As a result, the total work time was shortened by three hours. Kia's labor and management also agreed to adopt similar work schedules.

 

 



Overstated fuel efficiency for Hyundai models in Korea

 In November 2012, Hyundai and Kia were accused of having overstated fuel efficiency of their vehicles sold in the U.S. market. Similar accusations were heard in 2014 about their vehicles sold in Korea.

 In August 2014, Hyundai faced USD17.35 million penalty fined by NHTSA for a delay in reporting a faulty brake.

 The 2014 J.D. Power Dependability Study was conducted in October to December 2013 counting the number of problems per 100 three-year old vehicles. It found 169 problems in Hyundai-brand vehicles. Hyundai came in 27th among 31 brands surveyed.

Overstated fuel efficiency found in 140,000 vehicles sold in Korea

Santa Fe  With the onset of overstated fuel efficiency in the U.S., the Korean Ministry of Land, Infrastructure and Transport (MOLIT) conducted a survey regarding fuel efficiencies of Hyundai and Kia vehicles. In June 2014, the MOLIT officially announced that 8.3% overstatement of fuel efficiencies was found with the 2000cc diesel-fueled Santa Fe model (rear-wheel drive with automatic transmission) produced after May 2012.
 Upon hearing the announcement, 1,500 people that had purchased the Santa Fe in July filed a collective lawsuit demanding a KRW 1.5 million compensation per vehicle. About 140,000 units of the applicable model had been sold. If all compensation demands are to be paid, they will add up to KRW 210 billion for Hyundai.
 In August, Hyundai corrected the published fuel efficiency of the Santa Fe from 14.4km to 13.8km per liter and announced that the company would pay up to KRW 400,000 per owner. The compensation money was calculated based on the difference between the overstated efficiency and the corrected efficiency and the psychological damage to the purchaser assuming that the car is driven for five years.
All-new Sonata  In the all-new Sonata premiere held in March 2013, Hyundai had announced the internally measured fuel efficiency of the gasoline-fueled version was 12.6km per liter. It was then corrected to 12.1km per liter according to the government's test procedure. There was nothing illegal about making the change but it is said it damaged the company's image again.

Source: Nihon Keizai Shimbun May 26, 2014/August 13, 2014, Nikkei Sangyo Shimbun July 16, 2014

 

Quality issues in the U.S.

USD 17.35 million fined by NHTSA  In August 2014, the U.S. DOT's National Highway Traffic Safety Administration (NHTSA) fined USD 17.35 million to Hyundai. The fine was due to a delay in notifying NHTSA, and announcing to all concerned, about a faulty brake found in approximately 43,500 units of the 2009 to 2012 models of the Genesis. Hyundai had received the faulty report in 2012 by the brake part suppliers but did not announce recalls until October 2013. The U.S. law requires automakers to notify NHTSA within five days after receiving a report about fault.
 The faulty brake was caused by rusty parts which could lead to total loss of braking function. The same parts were delivered to GM as well and GM had received the faulty report by the supplier at the same time as Hyundai. GM conducted recalls before Hyundai.

Source: NHTSA Press Releases August 7, 2014, Automotive News August 11, 2014

J.D. Power Dependability Study  The 2014 J.D. Power Dependability Study was conducted in October to December 2013 covering problems experienced by original owners of the 2011 models. The overall dependability was rated according to the number of problems experienced per 100 vehicles. The study found 169 problems in Hyundai-brand vehicles. Hyundai ranked 27th among 31 brands surveyed. Many of the problems were found in the Sonata and the Elantra that were released as all-new 2011 models. Kia ranked 19th with 151 problems. The auto industry's average was 133.
J.D. Power Initial Quality Study  The 2014 J.D. Power Initial Quality Study was conducted in February to May 2014 counting problems experienced by original owners of the 2014 models during the first 90 days of ownership. Both Hyundai and Kia were rated high with Hyundai ranking 4th with 94 problems and Kia ranking 7th with 106 problems among 32 brands surveyed. The Hyundai's 2014 models are rather old and problems had been corrected in most of the Hyundai vehicles by the time of the Study.

 

 



Hyundai-Kia's market share falls below 70% at home due to increase in imported vehicles

 The Hyundai-Kia Group has a high market share in Korea that exceeds 70% along with high margin percentage. The high share was said to be the source of funds behind the Group's brisk investment in foreign countries. However, their sales in 2013 at home decreased by 50,000 y/y to 1.09 million units with the share falling below the 70% mark to 69.8%. The declined sales were due mainly to the increase in imported vehicles that sold 191,000 units in 2013. The market share of imported vehicles rose above the 10% mark for the first time to 12.1%. The market share of imported vehicles rose to 14.4% in January-June 2014 with that of the Hyundai-Kia Group falling to 67.9%.

 The surging import in Korea owes in part to the lowered import duties after the FTA was concluded with the U.S. and EU, and also to the won's appreciation.

Hyundai-Kia's sales in the Korean market

2009 2010 2011 2012 2013 2013 1H 2014 1H
Hyundai
Kia
702,678
412,752
659,565
484,512
684,157
493,003
667,777
482,060
640,865
458,000
325,611
226,404
346,486
218,764
Hyundai-Kia Total
Market share
1,115,430
76.2%
1,144,077
72.9%
1,177,160
73.9%
1,149,837
73.5%
1,098,865
69.8%
552,015
72.7%
565,250
67.9%
Other domestic OEMs 278,570 321,349 297,477 261,020 284,493 125,427 147,550
Imports
Market share
69,002
4.7%
104,977
6.7%
117,592
7.4%
154,407
9.9%
191,066
12.1%
81,492
10.7%
119,478
14.4%
Total sales in Korea 1,463,002 1,570,403 1,592,229 1,565,264 1,574,424 758,934 832,278
Source: KAMA
(Notes) 1. Hyundai-Kia Group's market shares and those of imported vehicles are percentage to the vehicles including imported vehicles in Korea.
2. Imported vehicles into Korea in January-June 2014 included 53,470 units from Germany, 24,041 units from Japan, 14,803 units from the U.S., and 4,211 units from the U.K. Japanese automakers are exporting the Toyota Camry, Venza and other models that are produced in the U.S. to Korea under the FTA concluded between Korea and the U.S.

 

 



Slight decrease in U.S. sales in 2013 with market share falling from 8.7% to 8.1%

 Hyundai-Kia Group's sales in the U.S. nearly doubled from 675,000 units in 2008 (with a market share of 5.1%) to 1.26 million units in 2012 (8.7% share). However, the Group's sales decreased by 4,644 units in 2013 with the share falling from 8.7% to 8.1%, while the industry volume in the U.S. increased by a million units during the year. The number of U.S.-made vehicles increased by 26,000 units but imports from Korea decreased by more than 30,000 units because of the restricted supply due to strikes. Hyundai's Santa Fe is produced at Kia's Georgia plant in the U.S. (106,000 units produced in 2013). As a result, imported vehicles account for more than 50% of Kia's sales.

 According to Automotive News dated November 11, 2013, the Hyundai-Kia Group gained momentum during the past few years that were characterized by several incidents. Consumers grew more price-oriented during those years due to financial crisis. GM and Chrysler filed for bankruptcy and Japanese automakers faced severe supply shortages after the East Japan Great Earthquake. The Automotive News notes that Hyundai-Kia Group's sales decline in 2013 was caused in part by the recovery among competitors in terms of their product appeal and production.

 To activate sales in the U.S., Hyundai-Kia are increasing their incentives from around USD 1,000 per vehicle in 2011-2012 to USD 1,377 in 2013 and to USD 1,836 in January-March 2014 (still lower than the industry's average of USD 2,722).

U.S.-made vehicles and imported vehicles in Hyundai-Kia's U.S. sales

2010 2011 2012 2013 Jan.-Jul.
2013
Jan.-Jul.
2014
Hyundai US-made 273,303 486,713 503,655 540,404 320,118 324,294
Imports 264,925 158,978 199,352 180,379 106,897 107,151
Total 538,228 645,691 703,007 720,783 427,015 431,445
Kia US-made 108,202 130,235 271,996 261,542 160,173 157,071
Imports 248,066 355,257 285,603 273,637 166,182 192,651
Total 356,268 485,492 557,599 535,179 326,355 349,722
Hyundai-Kia US-made 381,505 616,948 775,651 801,946 480,291 481,365
Imports 512,991 514,235 484,955 454,016 273,079 299,802
Total 894,496 1,131,183 1,260,606 1,255,962 753,370 781,167
Market share 7.7% 8.9% 8.7% 8.1% 8.2% 8.1%
Light Vehicles in the US 11,589,844 12,779,007 14,493,092 15,582,136 9,148,292 9,604,694

Source: Automotive News
(Note) Hyundai has set its U.S. sales goal for 2014 at 745,000 units (with a market share of 4.7% assuming that 15.90 million vehicles are sold in the U.S.). Hyundai aspires to sell 800,000 units for 5% market share when the U.S. market recovers to 16 million units in a few years. The company is after a slow but steady increase in sales.

 

 



Shipment volume (wholesale basis)

 Hyundai successively started production at its plants outside Korea. Its shipment volume (wholesale volume) increased by 2.934 million units (70%) in four years from 4.20 million units in 2008 to 7.13 million units in 2012. The company's shipment volume increased by 429,000 units to 7.56 million units in 2013.

 Hyundai's production in Korea virtually remained unchanged at around 3.5 million units from 2011 to 2014 (planned) along with export volume of about 2.3 million units. Hyundai's production increase relies solely on operations at new plants overseas as the company has no plans to increase existing capacities in Korea in the near future.

 The ratio of overseas production to global sales in January-June 2014 was 61.6% for Hyundai and 43.3% for Kia. Between the two, Kia is more vulnerable to won's appreciation, labor disputes and other adverse conditions as it has a higher ratio of domestic production.

Hyundai-Kia Group's shipment volume (wholesale basis)

(1,000 units)
2010 2011 2012 2013 2014
Plan
2013 1H 2014 1H
Hyundai Korea Plant
domestic
export
1,731
658
1,073
1,885
682
1,202
1,911
667
1,244
1,820
641
1,179
1,872
682
1,190
922
326
596
972
346
627
Overseas Plants 1,881 2,174 2,499 2,912 3,028 1,469 1,523
Total sales 3,612 4,059 4,410 4,732 4,900 2,391 2,496
Kia Korea Plants
domestic
export
1,400
483
917
1,581
492
1,089
1,589
481
1,108
1,598
458
1,140
1,660
480
1,180
818
226
592
877
219
658
Overseas Plants 730 957 1,131 1,229 1,300 627 670
Total sales 2,130 2,538 2,720 2,827 2,960 1,445 1,547
Hyundai-Kia Group Korea Plant
domestic
export
3,131
1,141
1,990
3,466
1,174
2,291
3,500
1,148
2,352
3,418
1,099
2,319
3,532
1,162
2,370
1,740
552
1,188
1,849
565
1,285
Overseas Plants 2,611 3,131 3,630 4,141 4,328 2,096 2,193
Total 5,742 6,597 7,130 7,559 7,860 3,836 4,043
year-on-year 1,075 855 533 429 301 207

Source: Consolidated results from both companies, Hyundai Motor Investor Presentation June 2014

 

Shipment volume from  plants outside Korea

(1,000 units)
2010 2011 2012 2013 2014
Plan
2013 1H 2014 1H
Hyundai the US
China
India
Czech
300
703
603
200
338
740
616
251
361
856
641
303
399
1,031
633
304
390
1,080
600
300
207
511
332
155
195
553
296
160
Turkey
Russia
Brazil
CHMC (Note)
75
0
91
138
86
225
27
104
229
167
45
200
228
175
55
46
113
78
27
97
117
88
18
Total 1,881 2,174 2,499 2,912 3,028 1,469 1,523
Kia the US
China
Slovakia
167
333
230
272
433
252
358
481
292
370
547
313
360
630
310
192
276
159
186
311
173
Total 730 957 1,131 1,229 1,300 627 670

(Note) Sichuan Hyundai Motor Company (CHMC) is a joint-venture  formed by Hyundai and Sichuan Nanjun Automobile Group, a local manufacturer of commercial vehicles. CHMC is building a new plant to start production in mid-2014. Unit sales in 2013 and January-June 2014 are those of Sichuan Nanjun's vehicles transferred to CHMC.

 

 



Building Chongqing plant in China and new plant in Mexico

 Hyundai-Kia Group's global production capacity is estimated to be approximately 8 million vehicles at the end of 2014. Hyundai had shelved new plant constructions during the past years. In March 2014, the company announced it would build a fourth plant in Chongqing, China, and start production there in 2016. Hyundai's production capacity in China is 1.2 million units including CHMC's commercial vehicle production capacity. The total capacity will be increased to 1.51 million units in 2016 including 300,000 units at the new Chongqing plant and additional capacity at CHMC plants. The Group will have a total production capacity of 2.25 million units in China including 740,000 units by Kia.

 While facing tough competitions in Korea and the U.S., Hyundai is struggling to become the third largest automaker in China after VW and GM.

 In August 2014, Kia announced it would build a new plant in Mexico with an annual capacity of 300,000 vehicles. The new plant is expected to increase Kia's supply to the U.S. where it is losing shares due to supply shortages and Latin America. The plant is also expected to mitigate the impact of won's appreciation.

 

 



Sales Forecast by LMC Automotive: Hyundai Group sales to be 7.47 million units in 2017

(LMC Automotive, Quarter 2, 2014)

Hyundai group's sales Forecast by country LMC Automotive forecasts that Hyundai Group's light vehicle sales in major 53 countries will be 7.47 million units in 2017, up by 14.8% from 2013.

 For sales volume by country, the largest market in 2017 will be China at 1,974,921 units, up by 21.4% from 2013. The second will be USA at 1,421,854 units, up by 13.2%. The third will be Korea at 1,110,071 units, up by marginal 3.2% or 34,593 units.

 The fourth will be India at 464,709 units, up by 22.3% from 2013. LMC comments that the continued expansion in China and India would be the biggest driver behind the Hyundai Group's improving performance in Asia-pacific region, the Hyundai Group's biggest global base.


Hyundai Group Light Vehicle Sales Forecast by country (53 countries in total)

GLOBAL
MAKE
2011 2012 2013 2014 2015 2016 2017
Hyundai Group Hyundai 3,601,589 3,838,538 4,086,752 4,198,825 4,378,514 4,457,668 4,626,135
Kia 2,192,425 2,393,740 2,418,236 2,432,741 2,499,553 2,643,854 2,838,514
Hyundai Group total 5,794,014 6,232,278 6,504,988 6,631,566 6,878,067 7,101,522 7,464,649
China Hyundai 770,705 890,224 1,047,763 1,095,376 1,162,285 1,171,249 1,221,550
Kia 458,753 513,882 578,720 599,841 631,183 668,969 753,371
China sub-total 1,229,458 1,404,106 1,626,483 1,695,217 1,793,468 1,840,218 1,974,921
USA Hyundai 645,691 703,007 720,783 723,582 787,480 781,051 784,557
Kia 485,436 557,599 535,179 596,237 624,084 631,470 637,297
USA sub-total 1,131,127 1,260,606 1,255,962 1,319,819 1,411,564 1,412,521 1,421,854
Korea Hyundai 659,662 645,846 619,019 685,885 704,648 681,193 696,522
Kia 491,408 480,503 456,459 442,106 439,779 451,190 413,549
Korea sub-total 1,151,070 1,126,349 1,075,478 1,127,991 1,144,427 1,132,383 1,110,071
India Hyundai 373,709 391,273 380,002 413,928 429,633 449,178 464,709
India sub-total 373,709 391,273 380,002 413,928 429,633 449,178 464,709
Russia Hyundai 163,446 174,282 181,153 143,894 133,092 134,674 142,143
Kia 152,870 187,330 198,021 156,476 130,098 135,590 139,335
Russia sub-total 316,316 361,612 379,174 300,370 263,190 270,264 281,478
Brazil Hyundai 114,933 108,357 212,969 193,188 185,202 192,389 201,750
Kia 77,020 41,160 29,132 25,833 27,043 30,621 32,766
Brazil sub-total 191,953 149,517 242,101 219,021 212,245 223,010 234,516
Canada Hyundai 129,191 136,283 137,100 137,599 133,045 132,958 131,377
Kia 65,123 77,800 72,449 71,816 74,703 75,366 75,298
Canada sub-total 194,314 214,083 209,549 209,415 207,748 208,324 206,675
UK Hyundai 63,568 74,669 77,158 85,367 89,298 95,987 96,841
Kia 53,614 66,633 72,098 76,254 76,291 72,955 76,988
UK sub-total 117,182 141,302 149,256 161,621 165,589 168,942 173,829
Germany Hyundai 87,834 101,662 101,702 98,581 100,439 101,735 104,696
Kia 42,029 54,751 55,606 52,879 55,116 55,174 60,054
Germany sub-total 129,863 156,413 157,308 151,460 155,555 156,909 164,750
Australia Hyundai 87,137 91,600 97,006 95,919 96,673 94,943 95,599
Kia 25,128 30,758 29,571 30,121 31,435 32,222 32,342
Australia sub-total 112,265 122,358 126,577 126,040 128,108 127,165 127,941
Chile Hyundai 35,062 35,123 34,967 37,577 41,603 44,567 47,457
Kia 27,871 28,916 31,899 31,328 33,353 35,297 37,169
Chile sub-total 62,933 64,039 66,866 68,905 74,956 79,864 84,626
Italy Hyundai 43,498 43,482 38,249 42,340 48,912 56,010 59,914
Kia 19,461 27,067 29,843 26,016 27,411 31,836 39,580
Italy sub-total 62,959 70,549 68,092 68,356 76,323 87,846 99,494
Spain Hyundai 28,110 29,405 30,071 36,671 40,845 46,109 51,796
Kia 19,666 18,424 22,017 25,070 29,192 31,368 36,361
Spain sub-total 47,776 47,829 52,088 61,741 70,037 77,477 88,157
France Hyundai 20,307 28,915 25,979 23,120 27,127 28,832 30,210
Kia 28,017 33,261 33,811 31,627 34,086 35,369 41,536
France sub-total 48,324 62,176 59,790 54,747 61,213 64,201 71,746
South Africa Hyundai 0 0 11,631 38,851 37,984 46,989 47,347
Kia 0 0 4,506 13,151 10,398 9,404 7,743
South Africa sub-total 0 0 16,137 52,002 48,382 56,393 55,090
Turkey Hyundai 49,130 46,135 49,620 40,286 44,072 47,748 48,443
Kia 10,493 12,715 13,647 10,002 9,902 10,517 11,878
Turkey sub-total 59,623 58,850 63,267 50,288 53,974 58,265 60,321
Colombia Hyundai 29,021 26,905 25,092 27,226 30,631 34,070 36,108
Kia 27,245 27,016 28,267 22,218 26,865 28,420 31,072
Colombia sub-total 56,266 53,921 53,359 49,444 57,496 62,490 67,180
Peru Hyundai 17,647 22,900 24,545 24,808 25,006 26,315 27,632
Kia 14,152 17,899 20,101 21,970 22,479 23,373 24,552
Peru sub-total 31,799 40,799 44,646 46,778 47,485 49,688 52,184
Netherlands Hyundai 23,803 21,789 11,217 17,190 20,600 22,485 23,493
Kia 23,275 27,360 24,791 23,837 26,490 30,662 39,837
Netherlands sub-total 47,078 49,149 36,008 41,027 47,090 53,147 63,330
Poland Hyundai 14,286 15,589 17,219 18,103 17,473 19,417 20,335
Kia 12,869 15,315 17,397 14,982 15,559 18,520 20,532
Poland sub-total 27,155 30,904 34,616 33,085 33,032 37,937 40,867
Belgium Hyundai 14,957 14,894 18,759 16,712 15,501 16,038 15,982
Kia 12,397 11,890 13,272 13,218 12,821 12,935 14,391
Belgium sub-total 27,354 26,784 32,031 29,930 28,322 28,973 30,373
Austria Hyundai 18,197 19,365 21,160 18,310 18,064 18,417 18,497
Kia 11,156 12,709 9,496 10,688 11,862 11,925 12,589
Austria sub-total 29,353 32,074 30,656 28,998 29,926 30,342 31,086
Kazakhstan Hyundai 3,312 6,918 12,406 16,288 17,178 19,378 22,855
Kia 1,785 5,492 11,891 12,691 12,821 13,563 14,446
Kazakhstan sub-total 5,097 12,410 24,297 28,979 29,999 32,941 37,301
Philippines Hyundai 20,106 21,992 21,743 21,175 21,661 22,468 22,951
Kia 4,782 7,527 5,947 7,412 7,810 8,123 8,299
Philippines sub-total 24,888 29,519 27,690 28,587 29,471 30,591 31,250
Sweden Hyundai 12,687 12,000 10,520 10,735 10,750 10,686 11,506
Kia 14,776 17,305 14,802 17,421 18,614 18,079 19,559
Sweden sub-total 27,463 29,305 25,322 28,156 29,364 28,765 31,065
Denmark Hyundai 9,706 9,049 8,239 10,304 9,428 8,988 9,122
Kia 6,269 11,026 11,006 12,088 10,929 11,297 12,789
Denmark sub-total 15,975 20,075 19,245 22,392 20,357 20,285 21,911
Malaysia Hyundai 10,663 10,871 11,600 11,647 13,232 15,228 16,717
Kia 8,509 11,474 10,400 9,587 9,869 10,247 10,816
Malaysia sub-total 19,172 22,345 22,000 21,234 23,101 25,475 27,533
Ecuador Hyundai 9,010 6,988 10,461 8,452 10,712 10,787 11,755
Kia 9,786 8,441 11,823 12,476 16,298 16,572 17,180
Ecuador sub-total 18,796 15,429 22,284 20,928 27,010 27,359 28,935
Czech Republic Hyundai 12,199 15,220 16,296 12,013 10,275 12,705 12,857
Kia 8,573 8,566 6,331 8,223 9,793 10,785 12,408
Czech Republic sub-total 20,772 23,786 22,627 20,236 20,068 23,490 25,265
Taiwan Hyundai 13,934 16,802 14,498 16,404 16,846 17,389 17,955
Kia 416 425 440 442 445 438 410
Taiwan sub-total 14,350 17,227 14,938 16,846 17,291 17,827 18,365
Switzerland Hyundai 9,989 11,513 10,284 9,543 8,733 8,927 9,346
Kia 4,002 4,697 3,990 4,796 5,771 5,407 5,402
Switzerland sub-total 13,991 16,210 14,274 14,339 14,504 14,334 14,748
Ukraine Hyundai 22,036 23,116 18,125 8,258 8,433 10,990 14,491
Kia 9,305 16,108 13,224 6,058 7,233 8,183 10,111
Ukraine sub-total 31,341 39,224 31,349 14,316 15,666 19,173 24,602
Indonesia Hyundai 4,785 5,939 3,816 2,693 2,189 2,455 2,837
Kia 9,081 13,809 12,262 11,139 11,293 12,373 13,525
Indonesia sub-total 13,866 19,748 16,078 13,832 13,482 14,828 16,362
Mexico Hyundai 20,572 23,939 19,598 11,435 11,186 11,439 11,895
Mexico sub-total 20,572 23,939 19,598 11,435 11,186 11,439 11,895
Ireland Hyundai 4,078 5,385 6,269 7,327 6,353 7,170 7,872
Kia 2,718 3,169 3,432 4,013 4,461 4,894 5,743
Ireland sub-total 6,796 8,554 9,701 11,340 10,814 12,064 13,615
Slovakia Hyundai 3,568 4,682 5,340 3,594 3,022 3,752 3,757
Kia 4,919 5,396 4,976 6,573 6,832 7,449 8,796
Slovakia sub-total 8,487 10,078 10,316 10,167 9,854 11,201 12,553
Norway Hyundai 7,162 6,490 4,327 4,504 5,377 5,693 6,079
Kia 2,778 4,670 5,116 4,452 4,965 5,094 5,738
Norway sub-total 9,940 11,160 9,443 8,956 10,342 10,787 11,817
Finland Hyundai 4,488 4,377 3,364 2,563 3,003 3,400 3,831
Kia 6,120 6,351 6,231 5,621 6,251 6,836 7,507
Finland sub-total 10,608 10,728 9,595 8,184 9,254 10,236 11,338
Romania Hyundai 3,379 3,273 2,518 4,712 5,565 7,298 7,773
Kia 1,110 1,014 914 1,272 1,369 1,634 2,176
Romania sub-total 4,489 4,287 3,432 5,984 6,934 8,932 9,949
Greece Hyundai 4,830 2,604 3,958 3,619 3,880 4,223 5,099
Kia 2,348 1,531 986 1,360 1,668 1,932 2,709
Greece sub-total 7,178 4,135 4,944 4,979 5,548 6,155 7,808
Slovenia Hyundai 3,021 2,286 2,090 2,507 2,963 3,525 3,517
Kia 2,274 2,718 3,209 1,480 1,444 2,024 2,331
Slovenia sub-total 5,295 5,004 5,299 3,987 4,407 5,549 5,848
Thailand Hyundai 4,513 4,761 4,093 3,341 3,418 3,517 3,719
Kia 905 1,519 897 611 820 955 1,031
Thailand sub-total 5,418 6,280 4,990 3,952 4,238 4,472 4,750
Portugal Hyundai 2,988 1,178 883 1,415 1,636 1,821 2,070
Kia 2,768 1,892 1,683 2,530 2,862 3,268 3,883
Portugal sub-total 5,756 3,070 2,566 3,945 4,498 5,089 5,953
Uruguay Hyundai 1,630 2,568 2,877 2,973 2,995 3,090 3,165
Kia 382 627 698 766 763 874 892
Uruguay sub-total 2,012 3,195 3,575 3,739 3,758 3,964 4,057
Hungary Hyundai 1,323 1,228 1,077 1,286 1,458 1,930 2,093
Kia 1,212 1,801 2,023 2,025 2,113 2,794 3,573
Hungary sub-total 2,535 3,029 3,100 3,311 3,571 4,724 5,666
Argentina Hyundai 5,361 3,596 4,664 1,805 2,028 2,127 2,253
Kia 2,703 1,595 2,110 870 932 963 1,001
Argentina sub-total 8,064 5,191 6,774 2,675 2,960 3,090 3,254
Luxembourg Hyundai 1,764 2,122 2,533 2,331 2,455 2,443 2,451
Kia 271 267 279 237 295 306 316
Luxembourg sub-total 2,035 2,389 2,812 2,568 2,750 2,749 2,767
Estonia Hyundai 730 972 814 1,366 1,679 2,138 2,183
Kia 476 1,001 1,106 887 940 1,205 1,405
Estonia sub-total 1,206 1,973 1,920 2,253 2,619 3,343 3,588
Bulgaria Hyundai 0 0 0 763 985 1,123 1,120
Kia 643 1,219 1,473 766 710 986 1,167
Bulgaria sub-total 643 1,219 1,473 1,529 1,695 2,109 2,287
Latvia Hyundai 410 527 616 621 793 1,118 1,251
Kia 199 296 413 483 542 699 914
Latvia sub-total 609 823 1,029 1,104 1,335 1,817 2,165
Lithuania Hyundai 393 529 483 534 595 762 787
Kia 435 541 613 466 477 671 814
Lithuania sub-total 828 1,070 1,096 1,000 1,072 1,433 1,601
Venezuela Hyundai 7,842 4,308 75 2 0 0 0
Kia 5,577 6,017 3,679 326 1,083 1,610 2,624
Venezuela sub-total 13,419 10,325 3,754 328 1,083 1,610 2,624
Japan Hyundai 76 42 15 99 73 62 68
Japan sub-total 76 42 15 99 73 62 68
Iran Hyundai 5,140 1,558 6 3 0 8,682 35,802
Kia 19,320 4,258 0 0 0 51,410 122,709
Iran sub-total 24,460 5,816 6 3 0 60,092 158,511
Source: LMC Automotive "Global Automotive Sales Forecast (Quarter 2 2014)"
(Notes) 1. Data indicates figures of only small-size vehicles, including passenger cars and light commercial vehicles with gross vehicle weight of under 6 tons.
2. All rights reserved. Reproduction of any data will require permission of LMC Automotive.
3. For more information or inquiries of forecast data, please contact LMC Automotive.

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