Hyundai Motor Targets US Market with 'SUV and Genesis'... "Selling 1 Million Units Annually by 2025"

Hyundai Motor Targets 728,000 Vehicle Sales in the US This Year... Aims for 1 Million by 2025
Strengthening New SUV Lineup, Fully Committed to Improving Dealer Network
Expanding Genesis' First SUV 'GV80' and Total Lineup to 6 Models by Next Year

Jose Munoz, Global Chief Operating Officer (COO) and Head of North America Division (Photo by Hyundai Motor Company)

[Fountain Valley (USA) = Asia Economy Reporter Kim Ji-hee] Hyundai Motor Company has set a goal to sell 728,000 units in the U.S. market this year, including the Genesis brand. This figure represents about a 3% increase compared to last year's sales. The plan is to capture both sales and profitability through new vehicle launches centered on sport utility vehicles (SUVs). Additionally, Hyundai will actively strengthen its dealer network, which has been a chronic issue in the U.S. market. Through this, the company also expressed its ambition to sell over 1 million units annually by 2025.

Jose Munoz, Global Chief Operating Officer (COO) and Head of North America, held a press conference on the 9th (local time) at Hyundai Motor America (HMA) headquarters in Fountain Valley, near Los Angeles, to present these goals. Munoz said, "Hyundai's U.S. sales have experienced some stagnation since peaking in 2012," adding, "Despite the overall market downturn last year, sales increased, gaining momentum."

Last year, Hyundai achieved an improvement in annual sales performance in the U.S. market for the first time in three years. The SUV lineup, including Tucson, Santa Fe, and Kona, led the strong sales performance. As a result, the SUV sales ratio expanded to 55% last year. Munoz stated, "SUVs and trucks account for 70% of total new vehicle sales in the U.S., and the preference for SUVs is expected to continue," adding, "Hyundai has completed its SUV lineup with new models such as the flagship SUV 'Palisade' and entry-level SUV 'Venue,' in addition to Kona and Santa Fe, entering a stable phase."

In particular, the success of the Palisade is considered one of HMA's biggest achievements last year. Munoz said, "My first mission after taking office was to go to Korea and request additional Palisade units," expressing confidence by saying, "Currently, the model is very popular among individual customers, so fleet and rental sales are almost non-existent, meaning sales will continue to increase." He added, "It is very significant that the Palisade captured a 4.5% market share in its segment," noting, "Customers switching to Hyundai through the Palisade are not existing Hyundai customers but those from Toyota and American companies."

Hyundai has also been focusing on strengthening its dealer network this year. The introduction of dealer performance programs such as the Hyundai Accelerator Program and Genesis Keystone Program is planned. Munoz said, "Since customers are satisfied with Hyundai's products and services, we believe we are in a favorable position."

At this event, Munoz also expressed expectations for the crossover truck model 'Santa Cruz,' scheduled for mass production in 2021. He emphasized, "Santa Cruz will start sales in the second half of next year and is expected to produce about 40,000 units annually at the Alabama plant in the U.S.," adding, "It is not just another pickup truck but a stylish, urban crossover truck with advanced features that will define a new segment."

Mark Del Rosso, Genesis North America CEO (Photo by Genesis)

Another key focus for targeting the U.S. market is the premium brand 'Genesis.' Mark Del Rosso, Genesis North America CEO, said, "The luxury segment market is the most competitive even within the U.S.," adding, "We will expand brand awareness through various new vehicle launches and enhancing the experience as a luxury brand."

The Genesis brand is preparing to launch significant new models this year. The first SUV model, 'GV80,' is set to debut around this summer. The mid-size sedan G70, which received favorable reviews from local foreign media throughout last year, will have a facelift model, and a complete redesign of the mid-large sedan G80 is also scheduled. Genesis plans to improve its structure through a diverse product lineup and sales channel diversification.

The product lineup will gradually expand. Currently, there are three models, which will increase to six by next year. In addition to the existing three sedans?G70, G80, and G90?there will be two SUVs and one electric vehicle. The first electric vehicle model from Genesis is scheduled for release at the end of next year.

Hyundai has set a sales target of 728,000 units this year, including the Genesis brand. This is about a 3% increase from last year's sales (710,007 units). While the overall U.S. automobile market is expected to slightly decline from 17 million units last year to about 16.8 million units this year, Hyundai aims to continue its growth. Through this, the company also announced a mid-to-long-term goal of opening the '1 million units annual sales' era by 2025. Munoz expressed confidence, saying, "The Palisade and Venue, introduced in new segments, are expected to achieve the greatest growth in 2020," adding, "Sales in the eco-friendly vehicle sector are also expected to increase."

This content was produced with the assistance of AI translation services.