The popularity of Kia's mid-size sport utility vehicle (SUV) Sorento continues this year. Sorento was the best-selling vehicle from Kia last year, and it ranked first as a recreational vehicle (RV) for the first time.
According to the Korea Automobile Mobility Industry Association (KAMA) on the 1st, the number of new registrations for Sorento in January and February this year was recorded at 16,521 units, ranking first. This figure is a 7.9% decrease compared to 17,955 units during the same period last year. Kia Carnival ranked second with 13,802 units, and Kia's compact SUV Sportage ranked third with 13,115 units.
In January and February, the top three best-selling vehicles all featured hybrid electric vehicle (HEV) models. For Sorento, 70.8% (11,661 units) of its total sales this year were HEV models. Last September, Kia raised the price of the Sorento model following a facelift by about 1 million won, and despite the emergence of competing models such as the Renault Korea Grand Koleos, its popularity continues.
RV vehicles are more expensive than similarly sized sedans and are a major source of income for Kia. Kia's RV sales accounted for 67.9% in the fourth quarter of last year. The RV models played a significant role in achieving an operating profit margin of 11.8% (operating profit of 12.6671 trillion won).
Hyundai Motor's compact SUV Santa Fe, which sold 15,427 units and ranked second in sales in January and February last year, saw sales drop to 9,895 units during the same period this year. While it remains the best-selling among Hyundai's SUV vehicles, it ranks sixth overall. Santa Fe has been popular for over 20 years since it was independently developed by Hyundai in 2000, but is now overshadowed by Sorento in the domestic market.
Hyundai Motor expects that the sales of the newly revamped large SUV Palisade (new model, LX3) will increase this year starting in the second quarter, as the HEV models will gradually be delivered. Among the pre-order quantity of 45,000 units for the new Palisade, the HEV model accounted for 70%, with an estimated delivery waiting period of about five months.
Palisade is equipped with the next-generation hybrid system TMED (Transmission Mounted Electric Device)-II. TMED-II reportedly offers better fuel efficiency than the existing hybrid system by adding one more motor to assist vehicle propulsion (for a total of two). Hyundai plans to expand TMED-II to Santa Fe and Tucson in the future to create a turnaround in the SUV market.