Toyota has grown too quickly in the disorder

The vote, at the earliest, could intervene in November. Hyundai Motor, the Korean automaker, will then know if yes or no, the European Parliament has ratified the agreement of free trade between the European Union and South Korea. The bilateral agreement is grind teeth and pushes some of his critics to play the shows. If an entry into force of the text in December 2010, some chapters need to be adjusted. And why not that of the automobile, intended to result in the deletion of 10 of customs duty Europeans, opening at the same time the door to Korean cars. Let's start with those of Hyundai. The "anti" long ground their arguments, waving the specter of a flood of Korean cars on European roads. Indeed, Hyundai did not wait this agreement to snack on the old Continent market share. With 321.875 cars sold in the first half, Korean has, for the first time ever, to beat Toyota (310.253 units). And the gap would continue to widen. On the first six months of the year, the sisters Hyundai and Kia brands grew respectively 2.6 and 12.4 in Europe, while the number one Japanese decreased 12.6.

5th World place

The reluctance of Brussels irritate Chang Seok Im, Vice President of Hyundai Motor, the European market. It feeds even some severe resentment against the Continent, too tempted by him by withdrawal. The shuffling of the European Association of car manufacturers (Acea) at the request of the Korean status of European constructor only reinforces the in his opinion. "We are of course a Korean constructor, but we also have capabilities in Europe." We have two plants, one in Czech Republic, the other in Slovakia, with a total capacity of 600,000 vehicles per year. Since we started our activity on European soil, we did never considered as Asian, but as members of the Europe. "I do not see for how could refuse us the status of European constructor" granted to others, it annoys the leader at the world headquarters of Hyundai Motor, in Seoul. For Acea, which has among its members, actually General Motors Europe and Toyota Motor Europe, the subject is more sensitive. The problem is the entry into force of the free trade agreement that is likely to accelerate the breakthrough of Korean. Then imagine a renegotiation of the chapter on the car, there is nothing that some are willing to cross... Officially, the Acea merely indicate about Hyundai, that "demand is taken into account with the highest attention".

This is the pretext, explains in substance the Korean. First because about 70 of its sales in Europe are ensured from Czech and Slovak group plants. Therefore, the risk of a surge appears limited. Then, because the problem is indeed a different nature. "When I was in Italy, there was a strong resentment against the fact of the presence of Fiat Hyundai.". "Some manufacturers are against us and are not necessarily the large German marks", continues the Vice-President. Whatever the obstacles, the Korean remains determined to move forward, even if Europe appears as a complicated market, a sum of different tastes with networks of distribution often complex. In France, for example, Hyundai developed through importers and dealers, while the Kia network is operated directly by Seoul. "Europe, Hyundai not to there feel not comfortable." "But could not make the impasse on this market," said a familiar of the group. The old Continent absorbs more than 10 of the production of the company. As to the success of his candidacy, Hyundai do not doubt. Term. "We will the submit the number of necessary", slip a collaborator of Sean Kim, the Vice President of marketing.

In fact, Hyundai has time before it, the ambition to sell and a global strategy that grows the mainly to emerging countries. In ten years, he climbed from the 11eà the world generational, with 4.18 million cars produced (1) last year, and still defends an economic model based on a strong vertical integration. And has no intention to change since it even offered in the spring mill brand-new, designed to provide plate mills of the group. If it produced last year 1.8 million cars on its soil, there, in March, crossed a new historical phase out more Hyundai (excluding Kia) of installed channels outside of Korea from the peninsula. The trend should go in intensifying.

With a system based on exports, helped by a long favorable exchange parity, Hyundai has strongly accentuated its grip on the markets in recent years, particularly in Asia. He has same fact fi of the crisis of 2009 and, in contrast to many other manufacturers, known a year particularly pomp. On its own market, the group grew with Kia ( 101.243 units). The inclined "H" mark sprayed its forecast of sales in Asia ( 20.5 to 1.03 million units) to the General surprise. Especially, and perhaps his prettiest because of war, the Korean brand was hissée to the 2eplace in China. A situation still incredible five years earlier, but illustrates the geographical priorities of Korean. In India, it also installed in 2008 a centre of research for which it was planned to recruit 150 engineers per year for ten years.

Asian success story

Hyundai remains a success story as only Asian economies know manufacturing. Hyundai Motor was born in 1967, to a split in the conglomerate of the same name, including the domestic heavy industries, Hyundai Heavy Industries, has been entrusted to another part of the Chung, the founder family. After the war, the Group began by building roads. On which he eventually to drive cars... When in 1975 he launched the Pony, first car 100 Korean, drawn by Giorgio Giugiaro, it is the entire heart of the peninsula that capsizes.

Like other "chaebol", Samsung, Daewoo and Hyundai name is registered in the genes of the fourth largest economy in Asia. If, today, a car on two Korea (50.4) comes from the chains of Hyundai Motor was also because in 1998 Kia, number two national, routed by the financial crisis, has come swell the catalog. This is the year of the great purge, where Daewoo motor activity was struck out of the map, while Samsung passed under the control of Renault. The rescue is successful and the two trade marks are now well differentiated. Youth and dynamism, the design dared to Kia, classicism for Hyundai. Luxury comes also with the Genesis model. Not to mention the electric car, a niche on which brand is positioned with the BlueOn. The legend holds that the elements which have contributed to the success of the group, its financial surface, its reactive organization and its links with the suppliers. The history, it, don't forget to mention the 10 social conflict of 2006, as a result of a management traditionally muscular, which have cost more than 1 billion euros to the constructor.

"We are a car manufacturer still adolescent on the industrial plan and, certainly, a small young among global majors", explains a framework for the company. Forty-three years, Hyundai, its 78.000 fort employees worldwide, of which 72 are in Korea, has not yet claim to compete with General Motors or Toyota. Even if the Japanese remains the absolute model, which it is based, at the same time avoids to reproduce the error. "Toyota has grown too quickly, in the disorder.". "Now it is the turn of Hyundai identical growth," said Kang blood Min, Hanwha Securities analyst. "Investors will require more systematic quality controls to move towards a new"hyundai way"," he continued. Sure its strategy, its models and the markets in which he wants to go, Korean jealously defended its independence and scans for a back of hand any idea of cooperation with foreigners. "Never", launches a leader referring to President, opposed to any capital agreement. The other certainty is the Japanese market, where there also it feeds little illusions. With an uncompromising neighbour, Korean has nowhere else to go to pick up customers away. Europe, even divided, even reluctant appears as a real opportunity.