[Digital Times, Kim Yang-hyuk] Hyundai & Kia Motors reveals the launch of three new models of sports utility vehicles (SUVs) in China this year, including plug-in hybrid cars (PHEV) We will do our best to escape the sluggish sales in China.

According to the industry on January 8, Hyundai has completed the mass production of the Chinese mid-sized SUV `NU (project name)` last November. Next month, it will conclude the mass production of the Chinese compact SUV `EnCinno` (Korea`s Kona). In September, the company will begin mass production of the SQ (project name), including the Tucson Dog, as well as the semi-solid sedan. The complete replacement model of the Santa Fe to be launched in Korea this year is expected to be ready for production at the end of the year in China.

Kia Motors is expected to also begin production of the Sportage R successor model NP (project name) and small SUV QE (project name) in China in May and August respectively. Accordingly, Hyundai and Kia will release six SUVs in China this year, excluding SQ.

Hyundai and Kia will produce 500,000 SUVs annually in China this year. The two companies sold 990,000 units in China last November. The number of Chinese SUVs sold in China this year has increased to about half of last year`s sales volume.

It is aimed at SUV demand that is popular in China. According to the China Automobile Manufacturers Association, passenger car sales in the January-October period rose 19.5 million units, up 2.1 % from the same period last year. Among them, SUV only increased by 15.8% and all other sales decreased. Last year, Hyundai Kia Motors suffered sluggish sales to China because it was not equipped with various SUV products, though it is due to retaliation of China`s THAAD.

Along with the SUV, it is anticipated that the introduction of eco-friendly cars, which had been delayed due to the Chinese government`s subsidy on batteries from Korea, was postponed. Hyundai and Kia are ahead of Sonata and K5 PHEV launches in China, respectively. Hyundai plans to produce a Chinese-style Avante PHEV in October. Hyundai and Kia Motors` Eco-friendly cars launched in China are the first EVs on the electric car market. As domestic battery makers have been hit by Chinese government regulations, they are expected to continue to cooperate with Chinese battery makers.

By Kim Yang Hyuk mj@


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