Hyundai Car UK (HCUK) is in discussions with Hyundai Motor Europe (HME) about transferring the control of distribution of Hyundai vehicles in the UK to HME, with effect from the beginning of July.
This move follows on from the recent acquisition of HCUK’s parent company, RAC plc, by Aviva plc and reflects HCUK’s success in growing sales in the UK to around 1.5% market share.
Indeed in 2004, Hyundai achieved its best year ever with a 17% increase in sales year on year in an otherwise flat market and total sales of 37,600 units.
Under the direct ownership of HME, based in Frankfurt, Germany, Hyundai will be driving to further increase its sales in the UK to support its ambition to become a top five global automotive company by 2010.
Commenting on the transition, HCUK Managing Director, David Walker, said: "During RAC plc’s (formerly Lex Service plc) period of ownership, we have significantly grown the Hyundai business in the UK, and have laid a very firm foundation for its continuing growth and success in the future. All the team at Hyundai are proud to have created a very successful business which is in very good shape."
For existing and future Hyundai customers the move should mean an even greater level of support and commitment from the world’s seventh largest automotive manufacturer.
Existing owners’ warranties will be unaffected and Hyundai will remain the only car maker in the UK to offer an unlimited mileage fully transferable five year warranty across its entire range of vehicles.
Furthermore, the move will see renewed commitment to the ongoing development of the capability and performance of Hyundai’s UK retail network.
Negotiations about the transfer of the business to HME are ongoing. However, it is expected that all the existing staff, based at the head office in High Wycombe and Import Centre at Tilbury, will transfer to the new business, with the exception of David Walker, Managing Director, John Lawrence, Sales Director and Claire Balmforth, HR and Operations Director.Published 7 June 2005