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Dongfeng Yueda K3
According to the Reuters report, South Korea’s Hyundai Kia Automotive Group (referred as “Hyundai Motor Group”) has raised the loans targeting at the China market. The loans totaling $ 548 million (about 3.5 billion yuan) will be mainly used in the Dongfeng Yueda businesses and new plant in Sichuan Province. It is anticipated that more large-scale investment and financing actions will be coming soon.
According to the message from the headquarters in Korea, Hyundai Motor Group Chairman Chung Mong-koo, has recently released a clear signal to expand their investment in China. As the Hyundai Motor’s largest market, in 2012 a total of 1.336 million Hyundai Motor products were consumed in China, an increase of 14.2% over 2011.
With strong demand from China, Chinese market has become the main strategic market for Korean cars which suffer from sale fall in the domestic market due to the strong competition from the US and German cars. In Chinese market, with the decline of Japanese cars and expansion of its production capacity, it is expected that Hyundai Motor will be able to challenge auto giants from Germany and the United States.