Hyundai Motor has been selling cars in Mexico for a little over a year and has already made significant inroads in Latin America’s second-largest economy. May sales figures show that the South Korean automaker’s efforts to sell Sonata sedans and iX35 crossovers to middle-class residents in Mexico’s larger cities are rapidly paying off.
By Angelo Young
Hyundai recently began focusing on Latin America in an effort to snatch regional market share from smaller players, such as Suzuki and Mazda. In recent years, the company has focused on the Americas and Asia while relying less on growth in Europe, where Hyundai had trouble competing against entrenched domestic brands at a time of regional economic strife. Recent economic troubles in Brazil, Argentina and Venezuela have made Mexico the most ideal Latin American location to stimulate local sales.
Data from the Mexican Automotive Industry Association (AMIA) released Tuesday shows Hyundai is on pace to overtake Renault this year as Mexico’s ninth-largest seller of new cars. Hyundai expects to nearly double Mexican sales in 2015 to 22,000 units.
Hyundai’s annual global revenue has grown 33 percent since 2010, from $59.9 billion to $79.8 billion last year.
Hyundai delivered 2,049 new vehicles to Mexican buyers last month and 8,532 for the year, according to AIMA’s data, putting it right behind Renault’s 8,660 units. While these numbers are much smaller than the biggest players in Mexico.