By accessing this website, you acknowledge that Edmunds and its third party business partners may use cookies, pixels, and similar technologies to collect information about you and your interactions with the website as described in our
Privacy Statement, and you agree that your use of the website is subject to our
Visitor Agreement.
Comments
Looks alot better than American models
http://www.eauto365.com/zhuanqu/cs-xc-NF/images/Nf/1.jpg
http://www.szcw.cn/newpic/200502/2005915203322156.jpg
http://www.sinocars.com/sinocarnews/image/2005/08/img121036524451.jpg
http://car.carservice.com.cn/Files/UpFiles/shijialp/0509/nf/2005091410482738907.- jpg
Exterior
http://cn.yimg.com/sp/autos/sj/nf-1.jpg
Nope.
In the States: VERY SMALL profit margins
In Korea: EXORBITANT profit margins
Hyundai overseas: 75% of Hyundai sales, 50% of Hyundai profit
Hyundai Korea: 25% sales, 50% profit
This eye-popping ratio says it all. It's ripping off Korean customers.
Since Hyundai built the Alabama plant, it'll avoid any dumping charges easily in the future.
American selling prices
Korean prices (including taxes): NO Discount or $500 at most (sometimes)
=> You need to get some help from someone who can read Korean.
The sales/profit ratio (overseas vs Korea)
=> plus tons of Korean news articles. / You need to get some help from someone who can read Korean.
But is this a good deal?
New Sonata GLS V6 with the following equipment:
Package 01/AA - 01
16" WHEELS W/MICHELIN TIRES
4 WHEEL DISC BRAKES W/ABS
A/C W/FILTER
AM/FM/CD/MPS RADIO
AUTO LIGHT CONTROL
CARPETED FLOOR MATS
CHROME-TIPPED DUAL EXHAUSTS
CRUISE CONTROL
DUAL FRONT AND SIDE AIRBAGS
ELECTRONIC STABILITY CONTROL
FOG LIGHTS
FRONT SEAT HEAD RESTRAINTS
LEATHER WRAPPED SHIFT KNOB
POWER HEATED OUTSIDE MIRRORS
POWER WINDOWS,LOCKS,MIRRORS
REMOTE KEYLESS ENTRY W/ALARM
SIDE CURTAIN AIR BAGS
STEERING WHEEL AUDIO CONTROLS
TRACTION CONTROL SYSTEM
TRIP COMPUTER
MSRP is $21,495
I haggled with 4 dealers, and got one to quote me $16,863, plus tax, title and license.
Is this a good price? Thank you.
They pose additional import tax on foreign cars in Korea. And the import vehicle market is not that big there. That means, small sales and high profits.
But, the Sonata is a WHOLE different story.
Around 100,000 Sonatas are sold there (130,000 in the States).
Huge sales and huge profits there to make up for small profits in the States (huge sales).
Yes, the report is based on Hyundai's official financial report and its official news releases.
Yes, currency exchange is always considered whenever Hyundai Korea sets its prices in Korean and the States.
Korean customers HAVE ALWAYS PAID exorbitant prices for the Sonata, considering currency exchange rates.
The 2005 Sonata got acceptable/poor/poor on the IIHS tests and 4/4 on the NHTSA test.
The 2006 Sonata results were good/acceptable/good and 5/5.
So when will our insurance rates go down?
My car was made in Korea in August, 2005. Am I correct in assuming that the recall for the seat adjustment knob doesn't affect me? Was the knob replaced on both the driver and passenger sides or just the driver's side?
How cheap can Ford be? In order to keep their base price less than Sonata's (by a small amount) they made the curtain air bags optional. So they got what they deserved in the latest test when the base Fusion got lousy ratings. And now they say that the bags will be standard NEXT YEAR. This was the car to begin Ford's recovery!!
Sure sounds like your saying that.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Of course, unless if you are a Korean living in Korea......
Who cares for Sonata prices in Korea?
Naturally, there is little info on Hyundai's sales/profit ratio (domestic vs overseas) in English.
BUT, IN KOREAN, there's TONS of information on those topics.
It's better for you to get some Korean help to read many reports on them.
FYI, Hyundai/Kia controls the Korean vehicle market (around 75%) and is the price setter. Other makers (GM Daewoo, Renault Samsung, and Ssangyong) just follow it.
It sets almost monopolistic prices and the Korean government virtually does nothing because it enjoys huge TAXES coming from exorbitant Sonata prices.
Right.
American customers might need to know the American Sonata is heavily subsidized by Sonata buyers in Korea.
even relevant to us? I am not trying to offend you or anyone, but I don't get your point. """Koreans pay more, reason for having the "Best Bang for the Buck" here in the states?"""
Hyundai simply charges as much as they can in the given market, just like any other company. It's free market, and even though foreign cars are hit with high tax, GM and Renault now have means to bypass that and compete with Hyundai on equal footing. And they are doing that.
You mentioned that the government doesn't do anything about this. Just what do you propose it should do? Artificially control the car prices?
Have you checked the price of cars in the UK? It's even more ridiculous, especially after tax. So what? That is the suitable price for cars in that country.
US is a very tough battle ground, and is also the most important future market for Hyundai. Why is it strange that they will offer better prices here, especially when they have to overcome their previous image?
I don't see why you are so worked up about this whole thing at all. :confuse:
I don't think it is NOT strange Hyundai is milking its domestic Sonata customers to offer "the best prices" and "the best warranties" in the States.
Sometimes we might need to know where those "best prices" & "best warranties" come from. Just information. Nothing else.
It has always been a fact that cars in other parts of the world cost more. Period!
It has nothing to do with subsidizing sales in the US. Japanese cars cost more in Japan and Europe than in the US; the same as Korean and European cars!. It has to do mostly with heavy taxes imposed on cars in other countries by their own governments!! Exported Items / cars don't pay those heavy taxes and therefore can be sold abroad cheaper. It is called global economy: less taxes = Lower prices!
Don't get emotional about Koreans subsidizing anybody... you should instead blame those governments which tax everything to death in their own countries!
Take Gasoline as an example: Every country pays the same price for crude oil, yet a gallon of gas costs $2.30 in the US and $5.50-$6 in Europe and japan... probably also in Korea... Again because those governments levy a heavy tax on Gasoline!
Are Koreans then subsidizing Americans to buy Gas at $2.30?
NONSENSE!
PS: the main reason for heavy taxes on items sold in other countries is to compensate for the lack of a solid tax base on Revenues like in the US... because of widespread fraud and tax evasion in those countries!
And also to pay for social programs like health care, etc...
So they add a VAT ( Value Added Tax; or a National sales Tax), on every produced item at every stage of production!
The Honda Element and VW Beetle scored a "poor" in side impact(and the Accord "poor" in rear crash protection), or are Honda and VW only concerned with the safety of some of their vehicles?
Personally I wouldn't accept a "marginal" or "poor" in any category.
"Acceptable" is, well, acceptable. The IIHS has strict standards and "acceptable" while not as good as their top rating,is still a good showing (that is why it is acceptable). Lets not brush off the rear crash protection because a lot of "big" names in safety (e.g. BMW) do poorly, there is no excuse for a "marginal" or "poor" showing in this category. I have seen a lot of patients in chronic pain because of this type of injury--nothing to scoff at. I was pleased to see the Sonata do well in this category.
Maybe you should read this Backy....I think having "good" for rear is excellent and having acceptable on sides is ok and better then "poor" rear as per Honda Accord. I agree it would be better to have all goods,but I am happy with this car and its results.Read below...
http://neurosurgeon.com/conditions/whiplash.htm
The Korean Sonata is already way more expensive than the American BEFORE TAXES: the price comparison is based on the prices before taxes in my original post.
That VAT tax is not collected when the car is for export!
I am not talking about the SALES TAX !
Why, hey, that kind of makes up for the fact that in my area of the US (Hampton Roads, Virginia, aka "Norfolk"), we can't build cargo ships anymore because the Korean government heavily subsidizes shipbuilding, undercutting our prices.
What, that's ok, but the US buying cheaper Sonatas isn't?
And in truth, exactly WHAT does all this have to do with the Sonata, really? If you have a beef with Hyundai over the way Hyundai Korea runs their business there, take it there. I'm here to discuss and read about the '06 (and '07?) Sonata.
Could it be possible that Hyundai is only responding to the market forces in each individual market? And that they are not "milking" anyone to support anyone else.
Others have mentioned the price of other cars in Korea, it just seems that Hyundai is responding to that market and not "milking" it.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
IIRC whiplash is also the most commonly claimed injury in insurance fraud cases.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
I see your points. You're right we have to pay more for a lot less. I know the prices in both Korean and American markets. Although I must admit that I hate to pay more for less, that's how the market works. The Korean auto market is not fully opened to competition yet, but it may be so after the FTA talks with the US are over next year (though they could go on longer). Then, we'd be able to buy Hyundai cars at lower prices.
Hyundai raised the prices quite a lot with the launching of the new Santa Fe this year. I currently drive the first generation Santa Fe (2004, 2.0 diesel) and paid about $21,000 (2.0 diesel). It's a "gold basic luxury" (leather, heated front seats, etc.) trim with a sunroof. For the same price, I won't be able to buy the same trim Santa Fe anymore but just the base model. But, even with the price hike, Hyundai cars are still cheaper for what they are compared to the imports. That's why consumers are buying them.
All I want to say is that although Korean consumers grunt, there is nothing morally and ethically wrong with what Hyundai's doing in Korean market. Wouldn't you do the same if you were in their shoes? Just following and adapting to the market conditions. That's all. And, for now, I'd be willing to buy their cars because they are still good choices over imported vehicles, and I want to see them thrive in American market in the future.
PS: I appreciate interesting discussions going on here on this forum. It's heartwarming to hear all the cheers for the Korean company. (:
Yeah like Japan has an open and free market.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
That sounds like my package, which is the GLS V6 with no other options. Sounds about like what I paid, and is a good price. You may be able to get them down to ~$16,500, but probably no lower.
actually its below market prices. Say market price for steel is $500 per ton, selling your steel for $400 a ton is considered dumping.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
But the important thing is that the Sonata's crash safety is good enough for you. If I can find a car in my price range with better crash safety when it is time for me to buy my next long-term car, I will buy it. I see the Sonata's IIHS score as a huge missed opportunity for Hyundai.
Let me go further: Using the legal definition we should encourage all foreign companies to dump their cars here.
I took more exception to your statement that VW and Honda must care more about safety than Hyundai, when, as I mentioned, they each have vehicles which rated "poor" in side crash testing (namely the Element and the Beetle). The Accord rated a "poor" as recently as 2004. I don't think its fair to paint with such a broad brush about safety issues. Again , the Sonata's results , while not the best of the best , were as good or better than many so-called safety conscious manufacturers (Volvo, Mercedes C-class,Acura TSX) and the car comes with standard stability control( still not even an option on many vehicles). I think this alone speaks to Hyundai's commitment to safety.
link title
IIHS seems to rate the Accord as safer though.
cjlars: The fact that the brand new Civic could get all "good" shows Honda's commitment to safety. You have to consider that the Accord is a four year old design. I personally would rather have a car that did better in crash tests than having ESC. ESC can not protect you in the event of a crash. It can help prevent one though.
Hyundai did a lot by offering a long list of standard safety features, but should have also focused even more on crash results. Hyundai did improve greatly when compared to its previous model. But having an acceptable on the side crash is not very good IMO.
This is not so big an issue now, given that the Sonata is competing against mostly older designs. But if the '07 Camry and the Altima and Accord replacements that are due soon do better in crash safety than the Sonata (and I think that is very likely), then it will become a big issue.
Are you suggesting that Honda's "commitment to safety" didn't start until this model year with the Civic? The Element(which I believe debuted in 2003) scored a "poor"(not even "marginal") in side crash testing. Lets not let Honda or any other manufacturer off the hook here. I'm sure Honda had the capability of making an Accord with better side protection 4 years ago but did not.
Welcome - I'm sure the good folks hanging out here will have some suggestions for you.
To say that their upper management is disappointed is well, an understatement. Their engineers are already studying the data, looking at what tweaks need to be done to correct the structure. I also agree that Sonata will need to improve to keep pace and remain competitive with the major players in this segment.
Overall, the IIHS test results for Sonata was good and comparable to many other better known and more expensive brands. I've closely watched this manufacturer's phoenix- like rise and I too have high expectation for this brand. Perhaps it's because we like to root for the underdog. Especially when they pick themselves up after falling down.
I do see Hyundai becoming a significant brand within the next 2-3 years. On the other hand I expect Hyundai to push themselves to rise above their competitors. They're getting much closer(maybe bumper-to-bumper )but they aren't there yet.
BTW, world's most safe sedan won't protect you if a Semi truck at 20 MPH ,or Navigator at 35 MPH hit you on the side. I believe...if it is your time to go, it just the time to go.
Check www.ogrish.com for car accident pictures. There are plenty of BMW, AUDI, and B-Mer drivers who can never drive their safe luxury cars again.
Lets just say that Hyundai could have (should have) done better without bringing out the "commitment to safety" rhetoric implying that Honda,VW and others would never ever bring out a vehicle which tested less than "goods" across the board, something we know for a fact is not true.
sonata lx v6 without nav costs about $24.5K in korea
that's when the exchange rate is about 1030won. the rate went down lately to 970won, so it's probably about 23.5k
that's hardly a rip off.