Hyundai isn’t have the best news day. It has settled a suit regarding mileage claims, and expanded a recall on the Veloster hatchback. The recall, which has to do with the glass panels on the optional panoramic moonroof potentially breaking, now includes an additional 5832 2012 Velosters.
This is not the first time Hyundai has issued a recall for these parts on the Veloster – in December, the automaker issued the same recall for 13,500 vehicles; the new recall is for additional affected cars. Hyundai states that the new total of recalled Velosters is around 19,600 vehicles.
Unfortunately, the expanded recall isn’t the only Hyundai-related item in the news today. According to The Detroit News, the automaker has agreed to settle its California suit against overstated fuel economy numbers. On top of the reparations Hyundai (and Kia) has already paid owners, it will give further compensation to those who own cars featured in the “4 for 40 mpg” advertising campaign. Featured cars are the Elantra, Accent, Veloster, and Sonata Hybrid.
The suit, which was filed last July, stated that “illegal advertisements caused tens of thousands of California drivers to purchase or lease 2011 and 2012 Elantras and consequently incur unexpected fuel costs,” says The Detroit News. Payments will be made by Hyundai in a lump sum and will come from outside of the $400 million already set aside to reimburse owners; Hyundai will also repay non-original owners, although, they will only receive half as much compensation.

Hyundai To Launch Performance Sub-Brand

Hyundai will use its return to WRC in 2014 to help promote a new performance sub-brand the Korean automaker has in the works. The focus will initially be on the European market, where WRC is primarily run, but eventually we could see some of the go-fast Hyundais launched under the performance sub-brand arrive on U.S. soil.

The information was revealed by Michel Nandan, Hyundai’s team principal for its WRC team, during a recent interview with Drive. Nandan said the launch of the performance sub-brand was at least a year away still, and that the first model to be launched under it would likely be based on the i20 subcompact sold overseas.

Just like the i20 WRC car currently in testing, the Hyundai performance sub-brand’s version of the i20 would likely come fitted with a turbocharged engine and all-wheel drive. More models would likely follow, possibly based on the Veloster Turbo and Genesis Coupe sold locally. Previously, it’s been reported that Hyundai was considering a sporty Elantra GT Turbo.

Hyundai is serious about improving its sporting credentials, even going so far to establish its own Nürburgring test facility. The return to WRC is also aimed at improving the engineering of Hyundai’s road cars but also to help attract the attention of younger buyers.

http://www.motorauthority.com/news/1...ance-sub-brand

http://www.rushlane.com/hyundai-indi...s-1294162.html
Hyundai India car sales decline 14% for Oct 2013
India’s second largest car manufacturer, and largest car exporter, has revealed their sales report for the month of October 2013. The South Korean brand sold a total of 50,212 units in October 2013, which is a considerable drop as compared to cars sold in Oct 2012

http://www.cartrade.com/car-bike-new...rt-122175.html
Since reports of Honda City diesel launch have surfaced, analysts and experts have started discussing its prospects. Experts believe that Honda City has the capability of becoming ae game changer in India

http://www.arabnews.com/news/471561
WITH a total area of more than 30,000 square meters and more than 100 working bays, the new Honda Service & Parts Center on Kilo 10, Makkah Road, Jeddah, is one of the largest facilities in the region

http://www.bloomberg.com/news/2013-1...na-brazil.html
Hyundai’s incentives in the U.S. surged 47 percent in the first nine months of this year, compared with a 2.2 percent decline at Toyota and the market average of a 2.4 percent increase, according to Autodata Corp

Range of Engine Options start at an Ultra-low $4,500

Both Hyundai Engines offer Significant Crate Engine Program Discounts

LAS VEGAS, Nov. 5, 2013 /PRNewswire/ -- Hyundai today announced the creation of a new factory crate engine program at the 2013 SEMA Show in Las Vegas. Under the program, the Lambda 3.8-liter, direct-injected V6 and Theta 2.0-liter, turbocharged 4-cylinder engines will be offered to aftermarket tuners at a significantly lower cost than an equivalent replacement engine. The new engine program begins availability in December 2013.

The 2.0-liter 4-cylinder will be available in two engine configurations: a turbo-ready version priced at $4,500, and a turbo-equipped version, which includes turbocharger, intercooler, and intake air ducting, priced at $6,000. The turbo-ready version was developed specifically for tuners planning more aggressive, aftermarket-based turbocharging solutions, eliminating the costs associated with redundant turbocharging components. The 3.8-liter direct-injected V6 will be offered at $9,000.

Both 2.0- and 3.8-liter crate engines include intake manifolds, ignition coils, injectors, and fuel delivery assemblies. The cost advantages of the crate engine program are achieved via distribution system efficiencies and sub-assembly packaging when compared with the long block replacement engine and its individual sub-assembly cost.

"As more Genesis Coupes have entered the pre-owned enthusiast market since its 2009 launch, we've witnessed strong interest in leveraging the low cost potential of this rear-drive platform and its powertrains for the tuner market and motorsports," said John Krafcik, president and CEO, Hyundai Motor America. "Now, with our new crate engine program, Hyundai is making it more affordable for these same enthusiasts to modify their Genesis Coupe, or perhaps inject some high-value horsepower into other platforms."

These 2.0- and 3.8-liter Hyundai engines represent the powertrain options for the popular rear-drive Genesis Coupe, a favorite in the performance tuner community. In recent years, tuners have proven the scalable power gains possible from these engines with a variety of modifications. The full spectrum of modifications spans from the common, like intake and exhaust, to the most advanced, involving internal engineering of pistons, valves, rods and cranks.


At a rock-bottom $4,500, the Hyundai 2.0-liter turbo-ready engine represents an extremely attractive proposition for standardized spec-engine development, such as those developed for spec-based racing series. For comparison, the Ford 2.0-liter EcoBoost 4-cylinder engine with similar factory output characteristics has an MSRP of $8,000. Hyundai crate engine kits will be sold only through authorized Hyundai dealerships. These engines are covered by Hyundai's 12-month/12,000 mile replacement parts warranty policies and do not fall under the 10-year/100,000 powertrain warranty that applies to new Hyundai vehicles.

At the SEMA show Hyundai announcement, famed tuner Bisi Ezerioha, creator of the 1,000-horsepower Bisimoto Genesis Coupe, was thrilled to be the first tuner to take advantage of Hyundai's new crate engine program, saying, "Hyundai makes impressively robust engines throughout its line-up, so the addition of this crate engine program is sure to raise tuner enthusiasm for radical Hyundai modifications even more."

but NA operations not performing well. so it is not expected that they can afford a separate premium brand.

V8 makes little sense for Honda unless it has v8 global SUV along with truck/bus business.
How exactly has Japanese failed in premium segment? . Japanese vehicles have higher resale value. It forced Germans to offer more options. Free maintainance etc. MDX and RDX with single engine outsell multi engine option X3/X5.
It is easy to predict another stagnating month for kia/Hyundai in NA market. They don't even have money for new factories let alone premium brand.

http://www.japantimes.co.jp/news/201...ll-production/
The technologies and know-how we establish at the Yorii plant will be transferred to new plants in Mexico, China and other locations to be built in the future,” Honda President Takanobu Ito said in a speech Thursday.

The Yorii plant is highly automated, with robots doing much of the work, such as attaching windows, sheet metal and tires.

RWD /V8 is not tier one.
Honda is not blind not to see world wide Toyota SUV and truck sales.
Honda is also building factories in emerging world.
Hyundai/kia will have big problem in NA market. Sales are already stagnating and that without new honda factory in Mexico coming online.

Kia/Hyundi are already in trouble in NA operations. They have offered longer warranties. that will crimp future profits. but biggest think is they have now too many offerings. They have no investments to dramatically increase capacity incase there is sales surge opportunity.

Kia/Hyundi combined sells are less than Honda/Acura but offering almost 70% more vehicles.

cheap labor?
Honda is robotics.

San Diego – Strategic Vision has released the results of its 18th annual and comprehensive Total Value IndexTM (TVI) study. "Value is absolutely not cheap; that's why you have incredibly performing models like Tesla Model S and its owners ranking it as one of the best Valued cars in America," explains Darrel Edwards, Ph.D. Executive Chairman and Founder of Strategic Vision.

Strategic Vision's study of over 45,952 new car buyers examined the quality of the buyer's complete ownership experience and adds the customer's assessment of economic consequences from two perspectives: (1) Immediate – or what is influential today (e.g. total down payment including drive-off costs, warranty costs, special incentive programs, etc.), and (2) Expected – what they believe the costs that emerge over time will be (e.g. expected Reliability, expected Durability, Resale Value, Durability, Fuel Economy, etc.).

Hyundai Motor Corporation was for the first time in the study's 18-year history the Total Value leader among US industry automotive corporations. Hyundai Equus is both the Luxury Car leader and had the highest TVI score in the industry.



Hyundai also produced segment winners with Sonata, Genesis Coupe and Elantra.


Domestic manufacturers had the most models as Total Value segment leaders such as: Chevrolet Spark, Cruze, Volt and Traverse, and with Ford's Fiesta Sedan, Fusion, Focus Hatchback, Taurus, Explorer and Lincoln Navigator, as well as others. But still, imports such as Toyota had Value leaders like Prius c, Scion FR-S, FJ Cruiser and Tacoma.

"The future of Total Value also plays heavily into the selling of more Alternative Powertrain (APT) fuel vehicles. The right product attributes, vehicle imagery and, of course, the customer's personal values will make the difference," says Alexander Edwards, President of Strategic Vision. "Manufacturers have to merge the 'wind-tunnel results' and what's in the customer's hearts and minds, in order to motivate them into spending significantly more, because a vehicle has the right balance of styling, innovation, performance and environmental friendliness. Total Value captures this from a Value perspective and even becomes foretelling. Without Love, sales of APT fuel vehicles and others, will have to rely on incentives, subsidies and leasing options that make them more affordable, even for those buyers who earn over $150,000 annually," continues Edwards.

No individual brand had more Total Value leaders than Chevrolet and Ford with five each. The Total Value segment with the greatest opportunity of improving sales is among the Standard Pickups. Strategic Vision's other data indicates that there is substantial opportunity to sell a lot of trucks from this segment if manufacturers can merge the core value factors of Durability, Resale Value and Reliability with great motivating styling, the right Standard Equipment and "meaningful" Innovation, all with about 26 MPG or better (ideally speaking). This would launch a "sales-revival" to the likes of Full-Size Pickup sales.

Strategic Vision has presented Total Value annually since 1995. Based on Strategic Vision's quantitative "ValueCentered®" NVES study, the Total Value Index was calculated from buyers who purchased 2013 models during September 2012 to March 2013. The following list contains the number one ranked vehicles in Total Value in their segments as rated by new vehicle buyers:


Special Award APT Tesla Model S 786 Best Full-Line Corporation Hyundai Motor Corporation 648
Strategic Vision is a research-based consultancy with over thirty-five years of experience in understanding the consumers' and constituents' decision-making systems for a variety of Fortune 100 clients, including most automotive manufacturers. Its unique expertise is in identifying consumers' comprehensive, motivational hierarchies, including the product attributes, personal benefits, value/emotions and images that drive perceptions and behaviors. J. Susan Johnson, CEO of Strategic Vision, coined the phrase "True Innovators" and we measure this construct in the detailed Total Value Index report. The ValueCentered® psychology and research methods were defined by Dr. Darrel Edwards in 1968, and enhanced by co-founders J. Susan Johnson (1972) and Sharon Shedroff (1975). For further information, contact Alexander Edwards or Christopher Chaney at (858) 576-7141 or visit www.strategicvision.com.

http://www.strategicvision.com/press_release.php?pr=48

Acura tries to have it both ways by saying the RLX competes in the midsize segment while having the interior room of a full-size; funny how Acura has 2-3 models that competes in the midsize segment (TSX, TL and RLX) and 2-3 models that compete in the compact segment (ILX, TSX and TL), but that is a byproduct of being FWD-based.

The ILX is a true compact size-wise but is most commonly seen as a sub-entry level competitor (below the class comprising of the 3 Series, C Class, A4, ATS, etc.) and is mostly compared to the Buick Verano.

The RLX is mostly compared to the likes of the XTS and MKS.

Hyundai has made a big mistake in not bringing another NA factory online - the new Sonata will sell well, but that will mean that Hyundai will have to cut Elantra production in order to sell more Sonatas.

But worldwide, Hyundai is continuing to outpace Honda - not only outselling Honda in China, India, Russia and Brazil, but increasing its lead (as well as in Europe and Australia).

Honda relies on the US market significantly more so than Hyundai - which has its positive and negatives.

H/K has offered a longer warranty for years now and it has not put a crimp on profits.

For 2011 and 2012, Hyundai had the 2nd highest margins in the industry next to BMW (will see a drop for 2013).

What's putting a crimp on Hyundai's margins are the rising valuation of the Won and increased labor costs in Korea.

H/K offers essentially the same types of vehicles in the same classes.

Sonata and Optima sales would likely be essentially the same whether they built one or the other and are capped by production constraints in NA (for instance, Toyota can build more Camrys at its Lexington, KY plant than Hyundai and Kia can build both the Sonata and Optima) and then there's Subaru building more Camrys for Toyota (for the time being).

What's holding H/K sales back is the limited CUV offering compounded by capacity constraints.

Kia builds the Santa Fe Sport for Hyundai at its GA plant which is not nearly enough for demand and also crimps on Sorento production.

Hyundai also has a limited capacity for building the larger SF in Korea and Kia needs a larger CUV.

Neither the Tucson or Sportage sell particularly well in the US but part of the reason is that they are big sellers in other markets (Europe, Australia, etc.) - so the US gets a smaller allotment.

Are Hyundai and Kia perfect? By no means.

But the biggest hindrance to US sales growth is the lack of capacity.

They need a 3rd NA plant ASAP (so that the Santa Fe and Sorento can get their own plant - which would free up production for Elantra, Sonata and Optima and then Kia can add production of the Forte).

Hyundai does so as well, but a its newer and non-unionized plants.

Honda, like Toyota and Nissan, have some older plants in Japan and also have to keep a certain no. of workers employed.

http://world.honda.com/news/2013/c13...zil/index.html
CorporateAugust 7, 2013
Honda to Build New Automobile Production Plant in Brazil
-- Doubling Annual Production Capacity to 240,000 Units in 2015 --

http://world.honda.com/news/2013/c13...ket/index.html
Honda Cars India announces Rs 2500 crore investment at Rajasthan plant to start a new phase of growth in the Indian market■Addition of Honda’s new assembly line in Tapukara plant to increase company’s Total Installed Annual Production capacity in India to 2,40,000 units in 2014
■Showcased 1.5L i-DTEC diesel engine; specifically developed for Indian market

apple to apple comparision?. do you even know how to do that.
Take ES & GS example. ES is sharing platform with Avalon. so much higher volume. GS has double wishbone front suspension, larger brakes, DI engine, more advanced transmission. (This is in addition to upscale interior). Its Japanese import car. so how on earth it can have same price as ES? This has nothing to do with FWD & RWD.

Honda is really going big into emerging markets and will practically oust Hyundia-Kia from NA market.

Again, that is why the Infiniti FX is slotted higher on the Infiniti hierarchy than the larger JX and why the new CTS is slotted higher than the larger XTS and why the ES and RX are midsizers priced alongside compacts, and why the same is true for the TL (despite SH-AWD) - being priced alongside the compacts - and the ILX (actually being priced alongside the sub-entry level despite being a compact in size).

It's also the reason why the FWD Audi A4 and A6 start at a cheaper pricepoint than the Japanese RWDs and why Audi doesn't offer FWD for the A7 and A8 in the US.

It's also the reason why Lincoln had stated that after competing with Cadillac for a century, they no longer would be doing so, their competition being more Audi (a stretch), Acura and the FWD Lexus lineup.

Eh, Honda has been in the China market for decades and Hyundai keeps adding plants and still can't meet demand.