Hyundai Motor Company Opens New Plant in Cangzhou, China

- Hyundai Motor Company has opened its fourth manufacturing plant in China in the strategically-important city of Cangzhou in north eastern China.

The new plant, Beijing Hyundai Motor Company Cangzhou Branch, has an annual capacity of 300,000 units. At the plant’s opening, Hyundai Motor Chairman Chung Mong-Koo looked ahead to a 10 million cumulative sales target for the company in China, declaring a new vision and greater resolve for Hyundai Motor in the country. 

Completion of our Cangzhou Plant is the foundation that enables Hyundai Motor to make a new leap forward in China. Together, Hyundai Motor and Kia Motors can now produce up to 2.4 million cars annually in China with plants in operation at eight strategic Chinese sites.

Chung Mong-kooChairman of Hyundai Motor Group

The opening of the Cangzhou manufacturing plant coincides with Hyundai Motor’s 14th year of operation in China after it started exporting automobiles as Bejing Hyundai Motor Company (BHMC) on October 18, 2002. Recording exponential growth every year, BHMC achieved cumulative sales of eight million units in August 2016.

New Plant – ‘Cangzhou Plant’

By opening its new plant, Hyundai Motor Company sets out to seize the initiative in the incrementally-competitive Chinese market with its ‘New Plant, New Model and New Strategy’ initiative. Cangzhou Plant begins operations just four years after Hyundai Motor’s third plant opened in Beijing in 2012. Cangzhou Plant’s competitive edge lies in its strategic location. It is situated only 200km southeast of Beijing, aligned with existing parts suppliers and Tianjin Port, Hyundai Motor’s logistics base. 

Built on a 1.92 million square meter site, with a floor space of 250,000 square meters, Cangzhou Plant is fully equipped with press, body, paint and assembly lines, in addition to an engine plant. The facility’s initial capacity of 200,000 units will manufacture strategically important small cars. It will expand to its maximum capacity of 300,000 units by 2018.

A smart and environmentally-friendly plant, Hyundai Motor’s Cangzhou facility uses the latest automation facilities in press, body, paint and assembly, as part of a flexible production system to ensure maximum efficiency and capacity utilization. In particular, the body line features a 100% fully-automated system that utilizes 299 robots. Also, Cangzhou Plant will implement a comprehensive recycling system, including recycling gas emissions, water and waste.

New Model – ‘Verna Yuena’

At the Cangzhou Plant opening ceremony, Hyundai Motor unveiled Verna Yuena, the first model to be produced at new plant. Displaying Hyundai Motor’s determination to penetrate the Chinese market further, Verna Yuena is a strategic model designed after careful consideration of the needs of Chinese customers. 

Verna Yuena was developed specifically to satisfy the demands of Chinese customers as a smart urban family sedan that competes successfully in this price-sensitive sector. Its concept was first introduced at the 2016 Beijing Motor Show boating dynamic and refined design, the greatest interior space in the segment, plus the latest safety and convenience features.

Verna Yuena’s exterior design features Hyundai Motor’s ‘Modern Elegance’ approach with dynamic and refined styling, a large hexagonal grill, and ample interior space. The Cangzhou Plant will produce the new model with a choice of two engines, a 1.6-litre, 120ps unit and a 1.4-litre with 100ps. Verna Yuena comes with latest safety technology, including VSM (Vehicle Stability Management), TPMS (Tire Pressure Monitoring System) and also latest convenience feature such as band type smart key ‘H-Band’, smart trunk, heated front row seats, and a sunroof. Verna Yuena will also fully support Apple CarPlay and Baidu CarLife. 

New Strategy – ‘Blue Melody’

Hyundai Motor also announced its future strategy in China under the name ‘Blue Melody’. Encompassing Hyundai Motor’s future direction, the name Blue Melody takes the first letters of Hyundai Motor’s ‘Blue’-branded products and services: Blue Ecommerce, Blue Link, Blue Outlet, Blue Drive and Blue Youth. 

The Blue Melody strategy focuses on customer satisfaction through systematic customer management and differentiated service. Through Blue Ecommerce, Hyundai Motor will utilize big data to enhance convenience for customers by establishing an integrated customer-tailored platform as part of its digital marketing.

In addition, Blue Link provides a new customer experience by applying Apple CarPlay and Baidu CarLife on Hyundai Motor flagship models. With Blue Outlet, Hyundai Motor will continue to enhance its sales competitiveness in key regions across China.

Blue Drive continues its proven success in enhancing competitiveness of eco-friendly cars especially in China where competition is intensifying in this key area of focus. Last but not least, Blue Youth strives to improve the company’s brand image by providing creative experiences for people in their 20s and 30s in China.

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