Amidst the organizational and sales woes the Hyundai brand in the Philippines has been reportedly mired in lately, its top brass reiterated that the company is still on course for its goals.
In a brief statement sent to this writer Feb. 22, Maria Fe Perez Agudo, president and CEO of Hyundai Asia Resources Inc (Hari), said: “A transformational change for Hyundai in the Philippines is on the horizon, a new era envisioned to bring positive results and further improve market presence. Further, announcements shall be made at the appropriate time.”
Perez-Agudo is also the president of the Association of Vehicle Importers and Distributors (Avid), of which Hyundai is a key member.
Aside from various reports showing that the Korean carmaker in the Philippines has had progressively declining sales for months now, the brand is also in the middle of a critical leadership transition.
The Hyundai Motor Co. headquartered in South Korea has been gearing up to manage the Asia Pacific markets (including the Philippines).
On Dec. 1, the Korea Economic Daily reported that Hyundai—South Korea’s top carmaker—aimed to utilize the core manpower of its domestic business unit to compete against Toyota Motor Corp., the leading player in Southeast Asia. According to the report, Hyundai had its sights set especially on Southeast Asia, given the strong growth potential in the region.
A regional reorganization would put Hyundai’s South Korean business unit in charge of the Asia-Pacific region, while a separate unit would manage the China and India markets. In the Philippines, Hyundai had been figuring prominently among the top 5 automakers since 2006, due largely to Hari’s stewardship. From 2012 to 2014 and 2016 to 2018, Hyundai’s ranking peaked at no. 3, earning Hari multiple awards as Asia-Pacific distributor of the year from Hyundai Motor Global.
By the time the pandemic hit in 2020, the brand was still at the 4th spot. In 2021, however, it fell to 8th place after selling just a total of 9,061 units, a 44.57-percent decline from its 2020 sales of 16,346 units. In 2020, it was announced that Perez-Agudo would be the president and CEO of Changan Motor Philippines Inc., the official distributor of the Chinese brand Changan in the country.
