Hyundai Building New Car Plant in China and Exiting Japan
It has been reported that South Korea’s Hyundai is spending some $800 million to build a third Chinese plant. The plant will be located in Beijing along with its two existing facilities. It is targeted to come on-stream at the end of 2011, with an annual capacity of 300,000 units.
According to the Nikkei, Hyundai, together with Kia, is ranked No. 2 in the Chinese passenger car market, with a share of around 10 percent. Volkswagen is #1. The new facility should help Hyundai to close in on leader Volkswagen in the world’s largest car market.
Also as per the Nikkei, Hyundai will withdraw from the Japanese passenger vehicle market. Hyundai’s Nipponese sales are a disaster. From January-October Hyundai sold just 764 to the Japanese. Sayonara.
