Monday, October 25, 2021
News Hyundai and Kia Cut Production Amid Drastic Drop In Demand

Hyundai and Kia Cut Production Amid Drastic Drop In Demand

Hyundai and Kia’s optimism in March is proving to be a costly mistake.


  • Korean carmakers increased production in March but no one’s buying.

  • Production at most South Korean plants will be halted between April 30th and May 5th.

  • Other plants around the globe will see its activities stop for a longer period.


If you’re in the market for a new Hyundai or Kia vehicle, odds are there will be many good deals to be made in the coming months. Only a few days ago, many reports were published pertaining to Hyundai and Kia’s over-optimistic projections for demand and how 34,000 vehicles have landed at US ports with nowhere to go. Overstock and plummeting demand have forced plant idling.

Last March, Hyundai projected that demand for their Tucson SUV and other models was to increase in the US. With that in mind, they booted output to as much as 98% of their production capacity and shipped 33,990 vehicles to the US. That was a mistake. With the country still on lockdown and very much still facing the coronavirus pandemic, consumers are not buying. In fact, even dealerships are delaying taking delivery of these vehicles.

Hyundai HMMA | Photo: Hyundai

The overstock, the pandemic, and dwindling demand has forced Hyundai and Kia to halt production at must South Korean plants from April 30th and May 5th. The Brazil plant will remain closed until the end of May. Kia will sporadically shut its operations next week and throughout May as well.

The overstock will be a huge mistake for Hyundai but may prove to be an opportunity for potential buyers.

Trending Now

Kia EV6 Order Books Open at Noon Today for Canadians

The required deposit is $500. Pricing has not yet been announced. Only 200 units will be available for pre-sale. Kia’s all-new EV6 electric vehicle...

Now is Your Last Chance to Buy a Ford Maverick Hybrid for a Few Months

The total production run for 2022 is almost fully reserved Orders will close in early November and they will reopen next summer The...

Porsche Recalls the Taycan in the United States

The Stuttgart-based automaker has just launched a recall campaign for the 2020 and 2021 models of its only pure electric car, the Taycan. The...

GMC Sierra Could Set Sales Record Despite Chip Shortage

General Motors is struggling due to the shortage, but its pickup trucks are still selling very well GMC has prioritised Sierra and Yukon...

The New 2022 Honda Civic Si is a 200Hp Hot Compact Car

Honda says it’s the best Civic Si ever. It features a 6-speed manual and a limited-slip differential. The new Civic Si arrives later...
Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.