Hyundai pushes to tap deeper into China's commercial vehicle market

By Kim Young-gyo HONG KONG, Sept. 16 (Yonhap) -- South Korea's leading automaker Hyundai Motor Co. said Friday it aims to grab a 5 percent share of China's commercial vehicle market by 2015 as the market is expected to see a robust growth in coming years. In April this year, Hyundai Motor agreed with China's Sichuan Nanjun Automobile Co. to set up a joint production base for commercial vehicles in China's southwestern province of Sichuan. "A smooth entry into the Chinese commercial vehicle market is essential for Hyundai Motor's long-term growth," the company said in a statement. China has become the world's largest commercial vehicle market, with the market demand reaching 4.5 million units last year. In 2015, the total industry demand in China is estimated to reach 5.5 million units, Hyundai officials said. Rapid development in the western region of China will help the market grow further, they said, adding that the South Korean automaker is seeking to expand its presence in the less developed western part of the country. Under the agreement made earlier, Hyundai and Nanjun will each invest about 300 billion won (US$279 million) to set up Sichuan Hyundai Automobile Co. with an annual production capacity of 160,000 units in 2013. Hyundai Motor expects to sell about 73,000 commercial vehicles in China this year.