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Hyundai readies for Verna, jams brakes on Accent
Friday, March 31, 2006

CHENNAI: Hyundai Motor India (HMIL) has stopped producing its popular mid-size segment car, Accent, for the domestic market. However, it continues to produce its left-hand drive variant for export markets at its Irungattukottai plant near Chennai.

The move comes in the wake of HMIL’s plans to introduce a “successor model” to Accent in India in the second half of this year. In fact, it is understood, the company has identified ‘Hyundai Verna’ as the model to replace the Accent.

“The production of Accent for the domestic market has been stopped since the beginning of this week. However, the left-hand drive model of the Accent is still being produced, though in smaller numbers, for the export market,” official sources in the company told ET.

Consequently, Accent has become the company’s first popular model whose production has been stopped. Accent held a 16.4% market share of the mid-size segment at the end of January ’06.

Though, HMIL had earlier stopped producing its high-end Sonata, it still retained the option of rolling out the same under the ‘made to order’ policy. And indications are that the company has such an option for its Elantra too.

However, it is not clear, whether the company has retained such an option for the Accent too, as for as the domestic market is concerned. “The company has enough stocks of Accent on hand to meet the demand over the next few months, until the Verna is launched,” sources pointed out.

“We will launch a newly-designed car, with new powertrains, as the successor for Accent by September this year,” HMIL’s managing director, HS Lheem, told the media at the plant on March 13, after the company’s one-millionth car rolled out of the assembly line.

However, the company may have a surprise up its sleeve over the timing of Verna’s launch. “Verna’s production schedule is about to be finalised.

And it is likely to start rolling out, albeit in smaller numbers initially, as early as May from the company’s assembly line,” the sources observed, while hinting that it will be launched sooner rather than later.

Economic Times - 3/31/2006
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