Established in 1967, Hyundai Motor Co. has grown into the Hyundai Motor Group, which was ranked as the world’s fifth-largest automaker since 2007 and includes over two dozen auto-related subsidiaries and affiliates.
Hyundai Motor, which exported its first independently-made vehicle, the Pony, in 1976, now exports over one million high-quality vehicles ranging from sedans, SUVs, trucks and buses.
In 2010, Hyundai Motor sold about 3.6 million cars worldwide, up 16.3 percent from 2009.
Hyundai Motor, South Korea’s largest automaker, sold 659,565 cars in the Korean domestic market in 2010, reaching a market share of about 45 percent. Outside Korea, the company sold about 2.9 million cars in 2010 in over 186 countries through some 5,300 dealers.
Employing over 78,000 people worldwide, Hyundai Motor is implementing a new global policy aimed at localization. This includes product development, design, sales, marketing, and consumer services to satisfy local customers’ tastes as well as that of the global market.
Currently Hyundai Motor has six overseas plants in the U.S., India, China, Turkey, the Czech Republic and Russia. The company will add a seventh plant by 2012, in Brazil. Hyundai Motor today has a combined global production capacity of about 3.91 million units a year (Korea Domestic: 1.86 million / Overseas: 2.05 million).Koo
Hyundai has three plants in Korea that have a combined capacity of about 1.86 million units a year. The plants are located in Ulsan, Asan and Jeonju.
The Ulsan plant is the world’s single largest automobile plant. The mammoth-sized Ulsan complex sits on 1,200 acres and is Hyundai Motor’s main production plant, comprising five independent plants. It employs over 34,000 workers capable of producing 5,600 vehicles daily. The plant also has its own port where up to three 42,000 ton ships can anchor at the same time. The plant is the birthplace of the Korean automobile industry and is a self-contained facility that operates its own fire station, hospital and security vehicles. The plant is also equipped with cutting-edge facilities to protect the environment, such as a waste water and sewage treatment facilities securing Hyundai Motor’s position as an eco-friendly company.
The Asan Plant, which mainly produces passenger vehicles for export, rests on 440 acres with a 4 million sq. ft. building that consists of production lines for machine press, auto frames, paint, assembly, engine and a materials plant. It is an entirely self-contained, independent automobile production complex that is capable of producing 260,000 mid- to large-size passenger vehicles annually.
The Jeonju Plant occupies a total of 317 acres of land and has 4.3 million sq. ft. in production space. It specializes in producing mid- to large-sized buses of 2.5 tons or more, trucks, and specialty vehicles. The Jeonju plant is capable of producing 70,000 units per year and in terms of the plant’s scale, it is deemed to be the world’s largest commercial vehicle production plant.
In May 2005, Hyundai Motor opened a $1.1 billion plant in Alabama, the company’s first North American manufacturing facility, which is also its most technologically advanced. Hyundai Motor Manufacturing Alabama (HMMA), which has a maximum capacity of 300,000 vehicles per year, began operations in 2006 with the production of the Sonata sedan. The plant started producing Santa Fe sport utility vehicles in the spring of 2006.
Within one year, HMMA reached 10th place in the product quality category among 37 plants in North America. In 2008, HMMA was chosen as the most productive plant in North America in the Midsize CUV category, for its Santa Fe model. HMMA took 22.6 hours to complete a Santa Fe, one of Hyundai’s best-selling SUVs. The Santa Fe is now produced at the Kia Motors Manufacturing Georgia facility in West Point, Georgia. Currently, HMMA produces the all-new Sonata and Elantra.
HMMA brings Hyundai Motor’s commitment to the North American market full circle. Since 2001, Hyundai Motor has invested more than $200 million in design and testing facilities throughout the U.S. With a $30 million design center in Irvine, Calif., a $60 million proving ground in the Mojave Desert in California, and a $117 million technical center in Ann Arbor, Mich., Hyundai Motor is able to bring vehicles to life from design, to testing and now to production, in the United States.
Hyundai Motor India (HMI), a wholly-owned subsidiary of Hyundai Motor, is the second-largest carmaker in India. Hyundai opened its second plant in India in February 2008, a decade after it began operations in the country. The US$1 billion new plant, which was completed in a record 13 months, doubles Hyundai Motor’s capacity in India to 600,000 units a year. The new plant is located within the same 525 acre plot in Sriperumbudur, in the state of Tamil Nadu, adjacent to the first plant.
The new plant is dedicated largely to the production of Hyundai Motor’s latest offerings in India — the i20 and the i10, winner of the most prestigious ‘Car of the Year’ awards from the leading automotive magazines and TV channels like Business Standard Motoring, CNBC-TV18, NDTV Car & Bike and Overdrive magazine.
Building the i10 (A-segment) and i20 (B-segment) cars for world markets, the Indian subsidiary is Hyundai’s de facto global hub for small car production.
In 2009, Hyundai opened a US$25 million R&D center in HITECH City in Hyderabad, India. The new facility will enable Hyundai to respond even more quickly to changing customer needs across the world and will serve as an important platform for the development of compact cars.
Beijing Hyundai Motor Company (BHMC), a 50-50 joint venture between Hyundai Motor and Beijing Automotive Holdings, was established in 2002. It began operations in China by producing Sonata in December 2002 and in 2003, its first full year of sales reached 52,129 units, making Beijing Hyundai China’s thirteenth largest automaker. Sales soared to 144,088 units in 2004 and by 2005, sales had catapulted to 233,668 units making Beijing Hyundai China’s fourth best selling brand.
In February 2008, Beijing Hyundai Motor Company (BHMC) set a record by surpassing one million units in cumulative production in just five years and two months, the shortest period among automobile companies in China. In the same year, Hyundai added a second plant to BHMC, doubling its production capacity to 600,000 units and is now in the process of building its No. 3 plant, which will boost production to 1 million units by 2012.
In 2010, Beijing Hyundai’s sales rose 23.3 percent to 704,441 units from 571,234 units in 2009. Beijing Hyundai currently builds nine models: EF Sonata, Ling Xiang (NF Sonata), Elantra, Yuedong (China-exclusive Elantra model), i30, Tucson, ix35, Accent and Verna.
Hyundai Motor began operations at its Turkey plant, located in northwestern Turkey, from July 1997. The plant, Hyundai Assan Otomotive Sanayi Ve Ticaret (HAOS), was expanded in 2006 and produces the Accent and Matrix vehicles. Starting from May 2010, the plant also began production of the i20. The facilities’ maximum capacity is 100,000 units per year.
Hyundai Motor began construction of its 1.1 billion euro manufacturing plant in Nosovice, Czech Republic in April 2007 and began production in November 2008. Hyundai Motor Manufacturing Czech (HMMC), a fully-owned subsidiary of Seoul-based Hyundai Motor, has a production capacity of 300,000 units per year. The plant manufactures Hyundai’s first exclusive European model, the i30 and i30 CW (Cross Wagon).
As part of its preparations to better serve the needs of its European customers, Hyundai Motor invested $50 million Euros in a European Design and Technical Center in Russelsheim, Germany which designed the i30 and estate wagon. In 2007, it opened a new European sales and marketing headquarters in Offenbach, Germany to better support local sales. The Czech plant is the final link in the chain providing Hyundai Motor with the full range of local capabilities to serve the European market from design and engineering, to production, marketing, sales and after-service.
Hyundai Motor in June 2008 began construction of its plant in St. Petersburg to establish a local production and sales base in Russia, which will be a stepping stone to expansion in the CIS and Eastern Europe.
Hyundai invested a total of US$500 million in Hyundai Motor Manufacturing Russia (HMMR), which officially began production in January 2011. HMMR, the first by a foreign automaker in Russia to employ “full-cycle” manufacturing, will reach a maximum capacity of 200,000 units by 2012. The plant, which will include storage facilities and a shipping area, was built on an area of about 2 million square meters. The floor space takes up about 83,000 square meters.
HMMR currently produces the Solaris, which features Hyundai’s eye-catching fluidic-sculpture design and innovative features to meet Russia’s demanding climate.
Hyundai’s seventh overseas plant in Piracicaba, Sao Paulo started production in November 2012. The start up of this plant brings Hyundai’s manufacturing presence in so-called BRIC countries to full circle.
Hyundai invested a total of US$600 million in Hyundai Motor Brazil (HMB) to produce up to 150,000 units annually. The plant produces the HB family of cars, which consist of the hatchback HB20, which won the 2013 Brazilian Car of the Year award; the crossover HB20X, unveiled at the 2012 Sao Paulo International Motor Show; and a sedan version, all dedicated to the local market.
The plant, which is located 160 km northwest of Sao Paulo city, was built on a 1.39 million square meter site, while the plant will have a floor space of 69,000 square meters, featuring complete vehicle production facilities such as stamping, welding, painting, assembly and module lines.