2019 Hyundai Reina sparks a Korean (car) war

LESS than 12 hours after Kia Philippines unveiled the Soluto, Hyundai fired back and introduced the Reina. Kia’s “unboxing” spectacle was undoubtedly effective and has awoken the sleeping giant that’s Hyundai. This has now sparked the start of a new kind of Korean war: one that, thankfully, only involves cars.

Though globally Hyundai and Kia belong to the same company—the Hyundai Motor Group, locally, they are distributed by two different companies. Hyundai is distributed by Hyundai Asia Resources, Inc., or HARI while the revitalized Kia is now managed by AC Industrials Corporation, a wholly owned subsidiary of Ayala Corporation. Thus while the cars they sell may be mechanically similar, it’s inevitable that Hyundai and Kia will compete in largely overlapping market segments.

Taking the Reina and the Soluto for example, both are underpinned by the Hyundai-Kia PB Platform—the very same platform used by the previous-generation Hyundai Accent and Kia Rio. Thus, both models end up with the same MacPherson strut front and Coupled Torsion Beam Axle rear suspensions. Both models are also identical dimensionally, with the exception that the Reina is five millimeters wider.

Both offer the same exact engine as well: a 1.4-liter MPI engine with Dual-CVVT technology having 95hp and 132Nm of torque. Both also offer a choice between a 5-speed manual and a 4-speed automatic. In short, expect similar performance and fuel economy figures—though it’s worth noting that the Reina is slightly lighter (six to 19 kilos, depending on the variant).

In terms of safety features, both the Reina and Soluto offer dual SRS airbags and ABS with EBD as standard equipment. What separates the two is styling. While the Soluto takes on the ubiquitous Kia “Tiger Nose” motif, the Reina sports Hyundai’s “Fluidic Sculpture 2.0.”

Another differentiator is equipment level. Kia’s offering the Soluto in two trim levels: LX and EX, while Hyundai’s only going with one on the Reina: the GL. Thus, the Hyundai comes across decidedly simpler in terms of overall specs. It doesn’t have front fog lamps and even sports 14-inch steel rims compared to alloys on the Soluto.

Inside, it also makes do with fabric seats, a simpler 1-DIN stereo system that doesn’t have Apple CarPlay or Android Auto, and no back-up sensors nor a reverse camera.

What the Reina gives up in terms of features though, it gives back in terms of price. Effectively throwing a spanner into Kia’s plans, the 2019 Reina comes in with an introductory price of P598,000 for the 1.4 GL M/T and P648,000 for the 1.4 GL A/T— undercutting the Soluto across the board.

Given HARI’s rapid reaction to Kia’s plans, it’s likely they were planning to launch the Reina at a later time (perhaps at the Manila International Auto Show). But given the competitive nature of the Philippine automotive industry, particularly in the subcompact sedan segment, they wasted no time and opted to release the Reina sooner.

Nonetheless, it must be worth remembering that in Marketing 101, it’s said that pricing is the weakest product differentiator or USP (Unique Selling Proposition). And because of this, Hyundai’s been very careful to attach the words, “cheap” or “affordable” to the Reina. Instead, they’re going for words like, “valuefor-money.” This may put a spoiler for Kia’s plans if buyers see features such as a backup camera and Apple CarPlay as frivolous.

Which car will the market receive better? Which Korean car brand will come out on top this 2019? Well, those questions can only be answered at a later time; but for sure, the Philippine car buyer will now be spoilt for choice. All the noise about Kia’s return under Ayala Corp. has ruffled a few feathers. Without a doubt, this will result in a comeback of sorts for Korean automotive brands locally. For this year and beyond, Hyundai and Kia may find themselves battling it out, and it won’t come as a surprise if the Japanese and American brands find themselves as collateral damage.