Hyundai Motor and affiliate Kia Motors on Monday predicted international sales to rebound in 2017 by a stronger-than-expected 5 percent, after publishing their very first yearly sales fall in almost 2 decades in 2016.
Sales might get a lift this year with developing markets such as Russia stablizing, and with Hyundai and Kia Motors preparing to increase supply to the United States and China, experts stated.
However margins might come under pressure as the South Korean duo – which together rank 5th in worldwide sales – strategy to add capability in China and Mexico, just as lots of experts anticipate those markets and the United States to slow.
“With the international economy continuing its low development, trade protectionism spreading and competitors magnifying in the auto market, unpredictability is growing especially,” Hyundai Motor Group Chairman Chung Mong-koo stated in his new Year message to staff members.
The 78-year-old chief stated the car manufacturers will release over 10 brand-new models every year, consisting of a brand-new SUV for sophisticated markets and a Genesis G70 sedan this year.
The predicted 5 percent increase in worldwide sales for 2017 to 8.25 million cars quickly beats the 1.9 percent increase anticipated earlier by Hyundai Motor’s own think-tank.
“The 2017 goal is somewhat higher than my forecast,” stated Ko Tae-bong, a car expert at Hi Investment & Securities.
