Hyundai to open third factory this year – hybrids to launch in 2012

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In recent years, the Beijing-Hyundai joint venture has grown several fold in terms of sales, just 24 months ago the Hyundai line up for China looked rather unloved and out of place but thanks to the introduction of new models such as the best selling Elantra and selling multi generational models side by side Hyundai have been able to cater to two types of consumer out of one dealership network, a plan that seems to have worked.

In order to keep up with demand for Hyundai cars in China, Hyundai and their partner Beijing Auto Works are planning to lay the foundation for a new factory later this year which will give them a much greater production capacity in China. Beijing-Hyundai’s 2009 sales results stood at 570,000 vehicles, whilst their production capacity remained at 600,000 vehicles per year. For 2010 the sales goal has been raised to 670,000 and has kept the factories working at full capacity to meet demand as first half sales were already at 329,000 cars sold in the Chinese market place.

Beijing Hyundai has some interesting cars planned for 2010-2011 including the launch of the Hyundai Verna and i40 sedan.

Work on the new factory is expected to take 18 months and will be capable of producing Hyundai’s hybrid range in 2012 when the factory officially comes online.