HYUNDAI SALES DIPPED IN OCT 2019

Hyundai, the bestselling Korean automotive brand in the country, was off to a weak start in the fourth quarter, after its volume sales in October dropped 20 percent from the same month a year ago.

The brand’s official distributor in the Philippines, Hyundai Asia Resources Inc. (Hari), sold 2,856 units in October, fewer than the 3,578 units sold in the same month in 2018.

Sales dropped even though 2018 set a low bar for the automotive industry, which last year struggled under the weight of higher excise under the Duterte administration as well as a consumer demand made weaker, in part, by inflation.

Hyundai’s October sales last year was actually the first time the company registered growth in nearly a year. October 2018 sales grew 9.6 percent from the sales volume in October 2017.

It remains to be seen if the company would be able to hit its year-end target of 40,000 to 45,000 units, a feat which, if achieved, would mark a 27-percent growth in sales volume. So far, Hyundai is only a little more than halfway there.

Hyundai sales reached 27,618 units in the first 10 months of the year, a 6-percent dip from the comparative period in 2018. At this rate, the company has so far hit 61 percent of its high-end target of 45,000 units.

Despite the drop, Hari said it remained optimistic that it could sustain its momentum in the last two months with seasonal consumer spending, benign inflation, and lower interest rates.

“While we don’t compete in some segments of the market (e.g., pickups), our volumes remain strong, underpinned by the quality of our vehicles and our focus on excellent after-sales services. Our models per segment remain competitive and this bodes well for the Hyundai brand in the Philippines,” Hari president and CEO Ma. Fe Perez-agudo said.