Hyundai Ups Ante on Japan in US Market

Seoul October 11, 2005; Kim Yon-se writing for the Korea Times reported that Hyundai Motor seeks to increase its sales in Europe and the U.S. with its new Grandeur TG, aiming to take market share from Japanese car manufacturers.

The nation’s largest automaker Tuesday said it will export the new model of Grandeur to Germany next month and target the U.S. market from the beginning of December.

The Grandeur TG will be dubbed ``Azera’’ in the overseas markets, with an engine displacements of 3.3 liters in Europe and 3.8 liters in the U.S.

Azera is expected to compete in the European and U.S. markets with Japanese sedans, such as Maxima of Nissan and Avalon of Toyota.

Hyundai Motor is mapping out strategies to sell up to 2,500 units in Europe, including Germany, and 50,000 units in the U.S. each year.

The price of a new Grandeur will likely be set at $27,000 while that of a Grandeur XG, a former model, is staying at $25,000.

``To achieve the best quality with no defects, we’ve delayed exports to the U.S. from the originally scheduled October date to the year’s end,’’ a company official said.

Hyundai Motor predicts sales in the Japanese market will also rise soon as the quality of vehicles, including Grandeur sedans, has improved over the past few years.

The car ranked 10th among 36 brands in the 2005 initial-quality study by J.D. Power & Associates, just ahead of Honda Motor and above the industry average.

The automaker’s sales in Japan remained sluggish compared to sales in other markets such as Europe and the U.S.

The new Grandeur model that is making inroads in the western markets features electronic power steering and steering wheel adjustments, ESP, front and rear side airbags, active headrests, 17-inch alloy wheels, dual climate control and a luxurious dual tone and textured interior with wood and metal trimmings.

The Grandeur TG has a wheelbase 30 millimeter longer than the earlier XG model, adding to interior space while enhancing driving dynamics and stability.