Hyundai Motor and affiliate Kia Motors plan to launch three low-cost sport utility vehicles in China next year, according to reports from Asia, trying to take advantage of the country’s current thirst for SUVs and MPVs.
Like General Motors and Volkswagen, China has become the largest market for Korean car companies. Making cheaper models specifically designed for the Chinese market will represent a shift in strategy for the South Korean, who have generally relied on older models to satisfy the demands of consumers in China.
However, the Chinese market is evolving rapidly and both American and European carmakers have brought new technology to vehicles to separate themselves from their competition. China’s own carmakers have become increasingly sophisticated meaning that their Korean counterparts need to follow that trend. (more…)