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| Rumor has it Hyundai plans to expand its lineup to include a pickup, full-size SUV and luxury car. This Equus concept that appeared on the North American auto show circuit in 2001 shows the direction the automaker may go. (Photo: Hyundai) |
With Hyundai sales expected to rise 7% in 2003 to a projected $23.6 billion, Japanese carmakers should be concerned. What should cause more boardroom banter is the South Korean company's decision to move both laterally and upmarket in future product offerings. Expect Hyundai to enter a new pickup, large midsize to full-size SUV and luxury car into its already substantial lineup by 2007 to 2008. A new small sport utility is also planned for 2004.
No doubt the Hyundai's vehicles will continue improve as rapidly as they have thus far, with even racier models, better perceived quality, increased reliability and a continuation of their strong warranties.
Still, 2003 could be a tough year for any car manufacturer not relying entirely on incentives to sell its wares. U.S. carmakers, led by General Motors, will once again spoil the North American public with 0% financing and lucrative cash back deals, making it difficult for lower priced imports to compete, while South Korea's currency is now quite strong making Hyundai's products more expensive in Canada and the U.S. Still, despite the adverse market ahead Hyundai is expected to thrive.