Hyundai Can't Keep Up With U.S. Demand
A Hyundai representative reported Friday that the automaker won’t be able to keep up with consumer demand in the U.S. for some of its most popular vehicles. That means over the next few months, consumers likely won’t see incentives that are quite as good as they’ve been recently.
Despite posting record U.S. sales last month, Hyundai’s U.S. CEO John Krafcik said that Hyundai likely won’t be able to grow U.S. sales by leaps and bounds this year. That’s because the automaker’s plants in the U.S. and South Korea are already running at capacity, according to the Detroit Free Press.
Additionally, Bloomberg reports that Krafcik is concerned about sacrificing vehicle quality for greater production volume. “What we’re trying to do is plant some seeds for future long-term growth, maybe giving up some short-term sales this year and next. … It would be very easy at this period of great growth to make a mistake on quality,” Krafcik said Friday at a conference hosted by J.D. Power and Associates.
Because U.S. buyers are snapping up Hyundai vehicles so quickly, they’ll likely be harder to find on dealer lots. Consumers will also likely have a harder time negotiating a lower price with their dealer if Hyundais are in higher demand and lower supply. Plus, Hyundai won’t be so generous with cash back, lease and loan offers as the automaker has been in past months. Right now, February Hyundai deals are basically the same as they were in January, since long shipping times mean that it generally takes a while for production issues to affect consumers. So, if you’re in the market for a new Hyundai, especially a popular model like the Sonata or new Hyundai Veloster, you may want to take advantage of these deals before they expire at the end of the month.
Shopping for a Hyundai or another new car? Check out the U.S. News rankings of this year's best cars. Then, look for a great deal on a new car by checking out this month’s best car deals. You can also skip negotiating with a dealer by using our Best Price Program. Also, be sure to follow us on Twitter and Facebook.