Kia and Hyundai post record high January sales in China

Dongfeng Yueda Kia, Kia Motors’ Chinese unit and Hyundai Motor’s Chinese subsidiary, Beijing Hyundai Motor have both posted higher than expected car sales for the first month of the 2009! In fact, both automakers have set record high monthly sales in China.

Sales of Kia cars in China increased 15 percent compared to the same period of last year to be recorded at 17,607 units, while sales of Hyundai topped 42,790 units, represneting a 35 percent increase from a year earlier.

The best selling model for Hyundai was the Chinese version of the compact Elantra sedan, of which 17,889 units were sold last month, while Kia’s top sellers for the month have been Cerato compact hatch and Sportage compact SUV.

Although overall China’s automobile sales slowed in 2008, Kia still managed to increase it’s sales by 40 percent -to 142,000 units. For the 2009, Kia has announced even more optimistic sales projections and plans to increase it’s sales another 30 percent -to 185,000 units.

Together with it’s parent Hyundai Motor Company, Kia wants to accquire as much as 10 percent of China’s market for passenger cars this year. Both Korean carmakers will try to meet their goals with aggressive steps including adding new models tailored to local customers.

Kia will launch the all-new Kia Forte and Soul crossover cars this year, while the facelifted mid-sized Kia Optima sedan is also likely to make it’s official Chinese debut later this year.

“Hyundai and Kia are doing relatively well in China and January sales numbers were promising,” said Kang Sang Min, a Seoul-based analyst at Tong Yang Securities Inc. “Their strength in emerging markets will help them beat competitors more reliant on matured markets,” added Kang.

Meanwhile, overall car sales in the Chinese auto market fell about 13 percent in January 2009, to 470,000 units, from 540,000 cars a year ago. [Source: Bloomberg]