Hyundai’s Come Far; More Miles to Go

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NAMYANG, South Korea – From mudflaps and forklifts to high rises and ocean-going vessels, the Hyundai brand name is inescapable here on the Korean Peninsula.

Americans have come to recognize Hyundai and its Kia sister brand in recent years as up-and-coming auto makers racking up steady successes and accolades for vehicles such as the Hyundai Sonata and Genesis and Kia Optima and Sorento.

But here in its home market, Hyundai Motor Group is more than just the largest employer in the country. Through many subsidiaries, it is an economic force that:

Owns at least half the domestic new-car market
Fills highways and ports with small and large commercial vehicles and shipping containers
Owns a chain of gasoline stations
Transforms the countryside with backhoes
Produces steel
Manages logistics
Transports the masses with buses
Manufactures robots and vehicle parts
Provides financing
Runs a hotel and resort
Helps fortify the nation’s defense

With a mild alteration, a famous saying that once applied to General Motors now fits the Hyundai parent company like a workman’s glove: As goes Hyundai, so goes South Korea.

Hyundai’s rise, although a work in process for years, seemingly has happened overnight. Within the past eight years, Hyundai has asserted a new styling language; opened research-and-development sites in Russia, Japan, Germany, India and metro Detroit; opened a proving grounds in California and two vehicle assembly plants in the U.S.; introduced a world-class V-8; upgraded its interiors; and opened additional plants in Russia, India, China and Czech Republic while two more new plants are under construction in Brazil and China. A plant in Turkey has been assembling vehicles since 1997.

And yet, the automotive beginnings were quite humble with poorly executed cars such as the Excel compact, which arrived in the U.S. in 1986. Back then, it would have been impossible to consider a Hyundai brand vehicle in the running for North American Car of the Year, an award bestowed on the Genesis luxury car in 2009.

Last week, Hyundai hosted an international powertrain conference here, and a key takeaway is that the auto maker will continue a phase of rapid development with new engines and transmissions intended to meet strict new fuel-economy regulations.