Canary In The Chinese Showrooms – – Hyundai Sales Down 32% Y/Y In July

Hyundai Motor Co. posted its lowest monthly plant sales in China in four years and said it would reduce prices to entice consumers in the world’s largest auto market.
Hyundai produced and sold 54,160 vehicles from its plants in China last month, down 32 percent from a year earlier. That’s the lowest monthly sales since July 2011, when the company sold 52,016 vehicles made in China, its biggest market by volume.
Weak demand in China contributed to Hyundai posting its sixth consecutive decline inquarterly profit in the three months ending in June, when plant sales in China slumped 14 percent. To help revive sales, the company said it will cut prices of sport utility vehicles, boost incentive spending and review the mix of models it offers in the country.

This post was published at David Stockmans Contra Corner on August 6, 2015.