Hyundai auto sales in China drop in the first half of 2015Hyundai Motor’s deliveries in China slumped 8.5 percent in the first half of the year, the latest foreign carmaker to report slowing demand in the world’s largest vehicle market.
The Korean automaker sold 513,784 vehicles in China in the first six months, according to an e-mail from the company. The drop was the first since the second half of 2007, when deliveries slumped 24 percent. Hyundai joins Volkswagen, which also counts China as its biggest market by volume, in reporting declining sales in the once-surging market.
Hampered by a strong currency and a product line consisting mostly of sedans when consumers favor sport utility vehicles, the Korean carmaker is responding by cutting costs and production.
“Hyundai didn’t have enough SUVs and seems to have been slow in increasing incentives in China,” said Lee Sang-hyun, an analyst at IBK Securities in Seoul. “You can say that the company’s share performance this year hinges on how well Hyundai sales recover in China in the coming months.”
Hyundai is scheduled to report its second-quarter results on Thursday.