Honda Chief: "Hyundai is awesome."
Old Hyundai Excel print ad. Nobody's laughing at Hyundai today.
Japan's automakers know a threat when they see one, and based on their words, it sure isn't in Michigan. Motown is fleeting image in the Japanese carmakers' rearview mirrors, which they're now nervously checking for a budding South Korean juggernaut. Honda CEO Takanobu Ito minced no words when he told the Associated Press, "Hyundai is awesome. They are undoubtedly a threat because their products are cheap, and the quality is improving." The numbers seem to bear that out, as Hyundai and its corporate sibling, Kia, continue to show substantial sales chart improvements in key markets like the Europe and the US, where it continues to show strong growth while many other automakers look at double-digit shortfalls year-over-year. Nissan's Shiro Nakamura echoes Honda's Ito when it comes to identifying Japan's new boogeyman, "Hyundai is the biggest threat for the Japanese automakers. They have the technology, but they seem to have cheaper labour."
Hyundai, once basically a joke (we all remember such legendary products as the Excel, pictured above), is catching the Japanese by beating them at their own game -- offering a mix of value and quality that's hard for shoppers to ignore. Japan knows it needs to defend itself, too. After all, once upon a time, they were what Hyundai is now. In the grand scheme of things, it wasn't too long ago that one could chuckle at Honda's initial foray into the States. We know how that turned out. Now you have to wonder how long it'll be until we see quotes from Hyundai's leadership talking about the Chinese the way Nissan and Japan talk about Hyundai.
[Source: The Canadian Press via TTAC)
Reader Comments (Page 1 of 6)
mbslrm 2:05PM (10/04/2009)
I couldn't agree more. Honestly, Hyundais are some of the best buys on teh market right now.
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kingtaz0 2:26PM (10/04/2009)
genesis coupe pretty much permanently shut me up about Hyundai. That car can be a bit funny looking in photos but it person it is undeniably gorgeous. and RWD and turbo'd. *drool*
James 2:58PM (10/04/2009)
Agreed. The Japanese makes must be scrambling to counter Hyundai...with the likes of the new sharp looking YF Sonata midsize.
Carlos 5:27PM (10/04/2009)
Hopefully unlike the American car companies, the Japanese will take notice and take action before they end like GM or Chrysler.
zamafir 8:01PM (10/04/2009)
@kingtaz02- pretty much. I saw the V6 in white, it's fantastic, almost the best of the 370z and best of the G37 in a package cheaper than either. Hyundai hit the ball out of the park with the genesis coupe. Were I looking for a car now, I'd be tempted to ignore the MkVI GTI and forthcoming Golf R and simply play with the Genesis Coupe for a few years
Chris O 11:32PM (10/04/2009)
Hopefully, Hyundai will continue their upward trajectory and make everyone else cheaper and better. After all, you don't have to buy a Hyundai to benefit from the competition that they bring.
fmwso 2:33AM (10/05/2009)
I agree with you as well. The current Genesis sedan/coupe are really awesome cars. By awesome I mean their price and quality. Both of these cars are great bargains at their price. They did come a long way, from cars that no one wanted to cars that are becoming more and more desirable. Keep it up Hyundai.
JG 2:06PM (10/04/2009)
That old Excel was really a Mitsubishi (the Precis). People tend to forget that.
Anyway, go Hyundai!
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Alex Nunez 2:32PM (10/04/2009)
One of my college buddies had a Precis. It was a remarkable piece of crap. Apparently, a tach was optional, and his stripper Precis didn;t have one. So, the spare gauge was there, but no needle. it was hilarious.
El Paco 2:49PM (10/04/2009)
It was the other way round. The Excel was a full-fledged Hyundai, and it was sold as the Precis by Mitsubishi dealers, only in the US.
James 3:38PM (10/04/2009)
The Excel was actually based on the 3rd Gen Mitsubishi Colt/Lancer (which was in turn sold as the "price leader" slot below the Mitsubishi Mirage).
This Mitsu even spawned the basis of Malaysia's 1st national car..the Proton Saga.
chris 10:22PM (10/04/2009)
True, I remember an article in the late 80's in which a turbo engine out of a colt was bolted straight into an excel. I remember them saying the car was based one. I've actually seen a couple still on the road locally.
Tourian 10:05AM (10/05/2009)
Mitsubishi licensed engine and body designs to Hyundai to build, usually last generation stuff. But I think the Excel/Precis started out as Hyundai built design using Mitsu tech, which Mitsu sold as their cheapest car. But yeah, it was a piece.
jabombardier 7:10PM (10/05/2009)
other way around. the Mitsubishi Precis was the Hyundai Excel. the Mitsubishi Expo was also a Hyundai.
jgc711 2:25AM (10/06/2009)
or the other way around...mitsubishi marketed it as a precis but it is actually an excel...anyway, those were the days when hyundai was a run-in-the mill brand...not anymore...how can you give a 10-yr 100,000-mile warranty if you don't trust your product...honda does not even do that...they are the worst in car warranty...and the way hondas are made now, they are of poor workmanship...i have a 2008 accord ex-lp...p is for plastic...there is too much plastic in the car and less leather...i just replaced the rear brake pads at less than 18,000 miles...the front pads were replaced by the dealer at about 6,000 miles because every time i apply the brake, the car is shaking...i talked to a honda service advisor and he told me that they are getting so may complaints about the brakes...he said that they are too small for the car and the material honda used is of inferior quality...this is my last honda acquisition...
kimosen 2:09PM (10/04/2009)
I think the Japanese are concerned about Michigan, and rightly so. GM and Ford are both making huge strides in quality. Hyundai is doing the same.
The real threat was outlined by Toyota: stagnation in innovation.
If every other automaker continues to improve, the Japanese will be left behind, and not just by Korea.
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Chibi Chaingun - blackhivemedia.com 3:24PM (10/04/2009)
Hyundai/Kia, Ford, and GM seem to get most of my attention these days. Toyota and Nissan have really lost my interest in the last half a decade. Honda still sits well with me. I like a lot of their cars, however I wish they did more with the Element. Like everything else, it gravitated towards the standard street SUV now while it used to go for a more rugged appearance.
daleam 4:59PM (10/04/2009)
People love to forget that General Motors is still the number one selling automaker in the US and not long ago, the world. GM is going to pull through it's problems and already has some of the hottest products in the market with more to come. Typical media bias in this post.
timwang2006 9:18PM (10/04/2009)
I agree, its not that Japanese automakers are slipping, but rather, the current market situation forced everyone else to step up their game. What Hyundai has done in the past few years is astonishing but GM and Ford have both done some impressive things as well. Some of their modern cabins match the class of VW in style and finish, something utterly unbelievable as of just two or three years ago.
Chris 2:32AM (10/05/2009)
Better the Koreans are eating into the Japanese market share and not our own.