Powers’ closely watch Initial Quality Survey, where it was the highest-ranked mainstream brand. “We have been building really good product for a very long time,” said Zuchowski, who pointed out that the company’s claims are now supported by a long string of third party endorsements – most recently in J.D. The plant also has been critical in Hyundai’s efforts to establish a reputation for building quality vehicles, the CEO said. Zuchowski said Hyundai sold more than 700,000 vehicles in 2013, and while it may not pick up market share, it expects to boost U.S. That plant is 81 miles east of Montgomery.
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A full 50% of the vehicles Hyundai sells to its American customers now are built in the U.S., Zuchowski noted, either in Montgomery or at another plant in West Point, Georgia, which is operated by its partner Kia.
The launch of the Alabama assembly line marked a significant transition for Hyundai, and demonstrated that it could be competitive without having to rely on the cheaper wages of its plants back home. (Hyundai one of the brands likely to post strong sales for June.
“We’re having a hard time keeping up with demand and the ability of this plant to overproduce is critical.” “We’ve really pushed the plant hard,” Zuchowski told reporters during a tour of the complex marking the launch of the 2015 Sonata. The 2015 Hyundai Sonata debuted in New York with a toned-down design compared to the prior generation. But Hyundai has added employees to staff three shifts at the Montgomery plant to increase the utilization of the $1.7 billion assembly complex, which contains a highly automated stamping plant and an engine plant, as well as its assembly line.
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Free Subscription!ĭave Zuchowski, president and chief executive officer of Hyundai Motor America, noted the ability of the Montgomery plant to expand production beyond the rated capacity has been critical to Hyundai’s ability to meet customer demand in recent years.Įven then, Hyundai could use more capacity in the U.S., noted former Hyundai CEO John Krafcik, who left the company last December. The Montgomery plant, which has 3,000 employees, now operates on three shifts five days per week and last year built a total of 398,000 vehicles – nearly 100,000 more than what it was built to handle when it opened a decade ago. Hyundai has begun delivering the new 2015 Hyundai Sonata to dealers across America from its bustling assembly plant in Montgomery, Alabama, a factory stretched well beyond its rated capacity as the Korean carmaker struggles to keep up with consumer demand. For positive cash flow, a company's long-term cash inflows must exceed its long-term cash outflows.The body of a new 2015 Hyundai Sonata rolls down the assembly line at the Alabama plant. Although some industries are more cash-intensive than others, no business can survive in the long run without generating positive cash flow per share for its shareholders.
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