Hyundai announced the opening of a new plant and the launch of a new model for the Chinese market - the Hyundai Yuedong. The Hyundai Yuedong will be bu8ilt at the new plant is priced at $790 million and took 24 months to build. The Hyundai Yuedong is based on the new version of the Elantra, which received a number of modifications to appeal to the Chinese customers.
The Hyundai Yuedong is the first in a line of models that will be introduced on the Chinese market and that will be tailored to suit its needs. These models will be introduced by 2010.
Hyundai Press Release:
Production capacity at joint venture to double to 600K by 2010
Yuedong compact car joins Chinese lineup; new model is specially designed for the Chinese market
New plant cost $790 Mln, completed in 24 months
New plant includes Technical Center to adhere to local needs
(Seoul, Korea) Hyundai Motor Co., which is planning to boost sales in China by as much as 65 percent this year, officially opened its second automotive assembly plant in China on April 8.
The new plant, which cost $790 million and took 24 months to build, will produce Yuedong, a variant of the all-new Elantra which has been modified to suit the tastes and needs of the Chinese car buyer.
The new plant, capable of initially building 200,000 units annually, is owned and operated by Beijing Hyundai Motor Co. (BHMC), a 50-50 joint venture between Hyundai Motor Co. and Beijing Automotive Industry Holding Co. With the completion of this new plant, BHMC's production capacity now reaches 500,000 units annually. And as more new models are added to BHMC's lineup of
products, the production capacity of the second plant will be increased to 300,000 by 2010, bringing BHMC's total capacity to 600,000 and reaching a market share of about 8 percent.
Attending the official opening ceremony for the new plant were Hyundai Chairman and CEO Mong-Koo Chung, Mayor of Beijing Guo Jin Long as well as almost 600 other company executives, high-ranking government officials, parts suppliers and media members.
"By expanding its production capacity to 600,000 units a year, Beijing Hyundai now surely stands as the greatest automaker in China. Starting with the Yuedong Elantra, we will continuously introduce a new stream of vehicles tailored exclusively for China –cars which reflect the needs and preferences of our Chinese customers," said Chairman Chung.
"With the newly opened technical center, we will strengthen our brand power and secure improved price competitiveness¡¦and although many changes can be expected on the Chinese automotive landscape, I am convinced that Beijing Hyundai will steadily develop into the best company in the Chinese automotive industry through the close cooperation between Hyundai Motor Co. and Beijing Automotive Industry Holdings," he added.
The new plant, which will be able to simultaneously produce four different models from one line, encompasses Hyundai Motor's most modern technologies and expertise. The plant will initially produce only the Yuedong and new models will be introduced one by one by 2010. Hyundai¡¯s existing No. 1 plant in China currently produces five models: EF Sonata, NF Sonata, Elantra, Tucson, and Accent.
The land area of the new plant, which is located nearby the first plant, is 1.15 million sq. meters, while the building is 240,000 sq. meters. Construction began in April 2006. The technical center is built on 165,000 sq. meters of land, including facilities such as a design center, engine testing center and proving ground. The technical center will focus on developing strategic models for the Chinese market and ways to improve price competitiveness and quality.
