 "Hyundai, Hyundai Motor")
The semiconductor chip shortage issue has, more or less, been resolved, allowing Hyundai to double stock levels with dealers and reduce the waiting period for customers, its Chief Operating Officer Tarun Garg said on Tuesday.
Moreover, he announced that all variants of all Hyundai models in India will have six airbags from now on as standard. Garg told Business Standard in an interview that the prices of variants, which did not have six airbags until now, will rise by approximately 1.5 per cent due to this decision.
Hyundai's dealers now maintain stocks that last approximately 20 to 25 days, a significant increase from the 8 to 10 days they held during the past two years owing to the semiconductor shortage situation, he stated. "That situation is behind us," he added.
"Twenty to twenty-five days of stock is a very healthy level while entering the festival season. The customer will be able to get the car on time," he added.
When asked if the semiconductor situation has been resolved, he replied: "Mostly. I have been working in this industry for the last 30 years, and 100 per cent chip supply was never there. I can say that the situation that existed before the pandemic has returned. Now, this issue has more or less been resolved."
Also Read
The company currently sells 13 models, including Creta, Exter and Venue, in India. He said that in 2022, only 18 per cent of the company's models had six airbags as standard.
Apart from airbags, the company is also expanding the incorporation of various other safety features in its vehicles, Garg noted. For instance, advanced driver-assistance systems (ADAS), designed to prevent accidents and reduce collision severity, will now be integrated into all Hyundai models.
Garg revealed that in 2022, only 9 per cent of the company's models featured ADAS capabilities. However, as of 2022, this figure has surged to 38 per cent, with expectations of it reaching 60 per cent by 2024.
The Bluelink app, offering features such as speed alerts, stolen vehicle tracking, geo-fencing alerts, and emergency assistance, has seen a substantial expansion from being available in just 17 per cent of models in 2019 to now covering 77 per cent of models as of 2023. Garg expressed the company's goal to extend the availability of this app's services to customers across all models.
Between January and December 2022, Hyundai sold 552,511 units, a 9 per cent year-on-year growth.
The company is expecting to have a similar rate of growth this year. "In January-September, we observed about 9 per cent growth in our sales. We are hoping that October-December would be in a similar range. Thus, we will end this year with close to 9 per cent growth, which is very good because sales in the last year were very good. It is reasonably good to have a 9 per cent growth on that kind of high base."
