AP-Yonhap News
Hyundai Motor Group is on track to overtake Ford for the first time and rank third in U.S. vehicle sales in the third quarter of this year.
CNBC and Bloomberg, citing an analysis by market research firm Cox Automotive, estimated on the 24th that Hyundai Motor Group sold 511,421 vehicles in the U.S. in the third quarter. That figure tops the 504,172 vehicles Ford sold over the same period.
Combined sales of Hyundai Motor (005380.KS), Kia (000270.KS) and the Genesis brand rose 6.5% from a year earlier. Ford’s sales fell 7.1%.
If the estimates hold, Hyundai Motor Group will rank third in quarterly U.S. sales behind General Motors, at 671,706 vehicles, and Toyota, at 642,707. It would be the first time the group has outsold Ford.
Supply chain disruptions are the main reason for Ford’s weak performance. A fire at a key parts supplier last year hit supplies of the automaker’s popular pickup trucks. Ford said it still outsold Hyundai on a cumulative basis through August, adding that tariffs, exchange rates, labor costs and supply chains make it far more advantageous to manufacture vehicles in South Korea than in the U.S.
A growing preference for fuel-efficient vehicles in the U.S. also contributed to the shift in rankings. With gasoline prices high, American consumers are turning to hybrids that get better mileage than trucks or sport utility vehicles. Hyundai Motor, Kia and Toyota, which offer a range of hybrid models, have benefited as a result.
Cox Automotive said consumers are looking for fuel-efficient options, and that Hyundai Motor and Kia have begun to offer such options and are gaining market share.