Exports buffer Hyundai Motor India’s performance in CY2019

Hyundai Motor India has announced cumulative sales of 691,460 units (-2.6%), comprising 510,260 units in the domestic market (-7.2%) and 181,200 units in exports (13.2%) in calendar year 2019. This constitutes a decline of 2.6% year on year (CY2018: 710,012). The decline would have been a tad more if it weren’t for the sterling performance of its overseas shipments, which account for 26.20% of the Chennai-based carmaker’s cumulative sales in 2019.

From this, it can be seen that the strong export performance has helped buffer the downturn in the domestic market numbers, albeit Hyundai, like other passenger vehicle OEMs, continues to feel the pressure of the poor consumer sentiment and a slowed-down economy.

Hyundai Motor India is a critical part of Hyundai Motor Corporation’s global export hub. It currently exports to around 91 countries across Africa, Middle East, Latin America, Australia and Asia Pacific.

It may be recollected that in early September 2019, Hyundai Motor India hosted an International Partner’s Meet 2019 in New Delhi. Hyundai, which has been the largest passenger car exporter from India for long, saw 60 of its global partners participate in a two-day meet. Partners representing Hyundai from several countries including South Africa, Saudi Arabia, Lebanon, Vietnam, Chile, Peru and Columbia participated in the International Partners Meet 2019 and many new markets like Ethiopia, Zambia and Ghana were also explored for export of the Atos (Santro in India). It was not long after that meet that the company began exporting the Venue to South Africa, where the SUV was launched in early December. Bookings for the Venue have crossed the 100,000 unit mark, says the company.

Venue makes a mark
The Venue, Hyundai’s first-ever compact SUV, is firing on all cylinders in the market. From its launch on May 21 till end-November 2019, it has sold a total of 60,922 units comprising 24,698 diesel and 36,224 petrol variants, which makes for a 40:60 percent ratio and indicative of the consumer preference for petrol power in the domestic market. The Venue comes with three engine options – a 90hp, 1.4-litre diesel, an 83hp, 1.2-litre naturally aspirated petrol unit, and a 120hp, 1.0-litre turbocharged unit.

The company says it has around 100,000 bookings for the Venue, which means this is one model which will continue to be in the news.

Commenting on the company’s performance in CY2019, Tarun Garg, Director – Sales, Marketing & Service, Hyundai Motor India said, “2019 has been a challenging year for the Indian automotive industry. Even in such adverse conditions, Hyundai Motor India as committed has launched four new benchmark products in different segments. As we gear up for a significant year 2020, we will offer BS VI in both petrol and diesel engines across different models in our product portfolio. Further, our aftersales service and marketing initiatives will extend customer-centric offers.”