Author Topic: Hyundai in Canada?  (Read 1009 times)

Offline sailor723

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Hyundai in Canada?
« on: November 09, 2011, 04:33:01 am »
With Hyundai sales closing in on 125,000 (comfortably ahead of Honda and nipping at Toyota's heels) do you think it's time they had a manufacturing presence in Canada? How important is it for a car manufacturer to be invested in Canada if they are a major player in this market?

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Re: Hyundai in Canada?
« Reply #1 on: November 09, 2011, 06:58:44 am »
They briefly had a plant in Quebec in the late 80's.

In 1989, Hyundai Auto Canada Inc. opened a stamping and assembly plant in Bromont, employing 800. The 150,000 m2 plant was situated on an 850,000 m2 site, with body, paint and trim shops as well as a pumping station for the plant, a paint residue treatment plant, and administrative offices. The plant cost $387.7 million, with Quebec and Canadian federal government subsidies of $131 million.[10]
 
The plant was designed to manufacture approximately 2000 Hyundai Sonatas per week.[10] Subsequently, Chrysler and Hyundai considered a joint venture that would have Chrysler rebranding the Sonata manufactured at Bromont — only to later announce the deal had failed. [11] The Bromont plant was operational for four years before it closed in 1994 — with Hyundai's sales unable to support the plant.[12] Hyundai subsequently sold the plant to Olymbec Inc.,[12] which in turn subdivided the plant leasing the former paint and assembly plant to Goodyear at beginning in February 2007 and later the former metal stamping portion of the plant to AAER Inc., a manufacturer of wind turbines based in Quebec.
« Last Edit: November 09, 2011, 07:00:33 am by Guy »

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Re: Hyundai in Canada?
« Reply #2 on: November 09, 2011, 07:18:05 am »
Typically 80-85% of the vehicles built in Canada are exported, mostly to the U.S. so the business case for a new plant would be based more on the American market than the Canadian market.

But with the kind of sales success that Hyundai-Kia is having in Canada, the amount of money they consequently take out of this market, and a free trade deal in the works that mainly stands to benefit the Korean auto industry, I think it's time that Hyundai took a very serious look at investing in Canada.

The company and its products have come a long way since the Bromont days.  I'm sure they would be successful in Canada the next time around.
« Last Edit: November 09, 2011, 09:25:19 am by Scarecrow »
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Offline Snowman

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Re: Hyundai in Canada?
« Reply #3 on: November 09, 2011, 07:27:56 am »
Not likely going to happen any time soon as Korea enjoys a production cost advantage with its currency price manipulation.

Offline AP

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Re: Hyundai in Canada?
« Reply #4 on: November 09, 2011, 08:06:41 am »
The "support the local economy" philosophy seems in my perception to resonate less with Canadian buyers relative to the U.S. 

Offline safristi

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Re: Hyundai in Canada?
« Reply #5 on: November 09, 2011, 09:31:55 am »
Yeah when like  (OWS dialect ON).....they charge like $1,900 to deliver MY ONTARIO BUILT    HONDA/GM/TOYOTA/CAMI car.....and like charge $499 delivery fer Uncle Albert in BUMFACK New Mexico like wot the like wot is THAT............ ;D
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Offline whaddaiknow

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Re: Hyundai in Canada?
« Reply #6 on: November 09, 2011, 09:59:02 am »
Yeah when like  (OWS dialect ON).....they charge like $1,900 to deliver MY ONTARIO BUILT    HONDA/GM/TOYOTA/CAMI car.....and like charge $499 delivery fer Uncle Albert in BUMFACK New Mexico like wot the like wot is THAT............ ;D

+1. Wonder what's wrong with the system that Canadians turn a blind eye on this bunch of crap. Isn't it illegal? Why no action?

Offline AP

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Re: Hyundai in Canada?
« Reply #7 on: November 09, 2011, 10:10:10 am »
Yeah when like  (OWS dialect ON).....they charge like $1,900 to deliver MY ONTARIO BUILT    HONDA/GM/TOYOTA/CAMI car.....and like charge $499 delivery fer Uncle Albert in BUMFACK New Mexico like wot the like wot is THAT............ ;D

+1. Wonder what's wrong with the system that Canadians turn a blind eye on this bunch of crap. Isn't it illegal? Why no action?

Purchasers living near the manufacturing facility subsidize the cost of delivery for purchasers living at the opposite end of the country.  You win some, you lose some depending on what you buy and where you live.  It is at least a defensible management decision.

Offline safristi

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Re: Hyundai in Canada?
« Reply #8 on: November 09, 2011, 10:16:54 am »
 ::) :light: :banghead: :bang:  ONLY if the actual COST IS $1,900(like YEAH!!! :P).....and why"subsidize"Uncle  Albert in NEW MEXICO.....is he related to you........ :(...just maybe thet can transport that Civic to New Mexico for $400 and still make a PROFIT.......sheesh your innocence is like those Vampire Shows chix love......kissy kissy suck the  blood out of me  oh ...why bother..............
« Last Edit: November 09, 2011, 10:20:19 am by safristi »

Offline AP

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Re: Hyundai in Canada?
« Reply #9 on: November 09, 2011, 10:22:22 am »
::) :light: :banghead: :bang:  ONLY if the actual COST IS $1,900.....and why subsidize Uncle  Albert in NEW MEXICO.....is he related to you........ :(

Sometimes you subsidize and sometimes you get subsidized. 

Is there some reason why the charge for delivery needs to correspond with the cost?  Everything else contains a profit margin.


Offline safristi

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Re: Hyundai in Canada?
« Reply #10 on: November 09, 2011, 10:31:12 am »
 ??? ::)   "BRING ME DRINK AND BRING ME MEAD...on your dime fella" :cheers:.......subsidization.... is a HOLE IN THE GROUND   with your $$$'s in it......

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Offline airbalancer

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Re: Hyundai in Canada?
« Reply #11 on: November 09, 2011, 10:55:08 am »
Who carries about delivery cost it the on the road cost that important

So everyone just give it up   ;D

Offline safristi

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Re: Hyundai in Canada?
« Reply #12 on: November 09, 2011, 12:00:39 pm »
so air bee delivers his sh*t fer HOW MUCH.......per MILE oh forgot KILL O METRE...... :stick:..blow me ov'r and do it again.....it's too HOT/COLD in here...who d'ya CALL      AIR BUSTERS......... :rofl:

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Re: Hyundai in Canada?
« Reply #13 on: November 09, 2011, 12:35:11 pm »
Yeah when like  (OWS dialect ON).....they charge like $1,900 to deliver MY ONTARIO BUILT    HONDA/GM/TOYOTA/CAMI car.....and like charge $499 delivery fer Uncle Albert in BUMFACK New Mexico like wot the like wot is THAT............ ;D

I think the point Safristi is making is that there's a huge price differential between what automakers charge for Freight/PDI in the U.S. versus Canada, not that the charge is fixed regardless of how close you live to the plant.

He might be on to something.  Here's a couple quick examples I just pulled from the Interwebs.

  • Chevy Equinox -- freight costs $810 in the U.S. vs $1,450 in Canada (79% higher)
  • Honda Civic -- freight costs $770 in the U.S. vs $1,395 in Canada (81% higher)
  • Toyota Matrix -- freight costs $760 in the U.S. vs $1,390 in Canada (83% higher)

Seriously, what the hell is that all about??!!

Offline AP

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Re: Hyundai in Canada?
« Reply #14 on: November 09, 2011, 01:18:16 pm »
I think the point Safristi is making is that there's a huge price differential between what automakers charge for Freight/PDI in the U.S. versus Canada, not that the charge is fixed regardless of how close you live to the plant.

He might be on to something.  Here's a couple quick examples I just pulled from the Interwebs.

  • Chevy Equinox -- freight costs $810 in the U.S. vs $1,450 in Canada (79% higher)
  • Honda Civic -- freight costs $770 in the U.S. vs $1,395 in Canada (81% higher)
  • Toyota Matrix -- freight costs $760 in the U.S. vs $1,390 in Canada (83% higher)

Seriously, what the hell is that all about??!!

Gas costs more in Canada. :)

Offline 2latecrew

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Re: Hyundai in Canada?
« Reply #15 on: November 09, 2011, 01:25:28 pm »
Yeah when like  (OWS dialect ON).....they charge like $1,900 to deliver MY ONTARIO BUILT    HONDA/GM/TOYOTA/CAMI car.....and like charge $499 delivery fer Uncle Albert in BUMFACK New Mexico like wot the like wot is THAT............ ;D

I think the point Safristi is making is that there's a huge price differential between what automakers charge for Freight/PDI in the U.S. versus Canada, not that the charge is fixed regardless of how close you live to the plant.

He might be on to something.  Here's a couple quick examples I just pulled from the Interwebs.

  • Chevy Equinox -- freight costs $810 in the U.S. vs $1,450 in Canada (79% higher)
  • Honda Civic -- freight costs $770 in the U.S. vs $1,395 in Canada (81% higher)
  • Toyota Matrix -- freight costs $760 in the U.S. vs $1,390 in Canada (83% higher)

Seriously, what the hell is that all about??!!

Its about the same issue that causes car prices to be higher in Canada. Because they CAN.

No one can do anything about it. They could probably jack the cost of freight even more if they wanted (maybe they will). Unless the cost is high enough to send a large number of people running to import from the US or a competitor holds the line causing their price to be noncompetitive they can charge what they want.

Supply and demand.

There are not enough people with cash (don't need financing from the manufacturer)  to make an impact to change anything. So we need to simply realize that you can bend over and take it or you can go to the US and import. Take your pick but no one no agency ..nothing will change anything.

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Re: Hyundai in Canada?
« Reply #16 on: November 09, 2011, 02:15:10 pm »
::) :light: :banghead: :bang:  ONLY if the actual COST IS $1,900(like YEAH!!! :P).....and why"subsidize"Uncle  Albert in NEW MEXICO.....is he related to you........ :(...just maybe thet can transport that Civic to New Mexico for $400 and still make a PROFIT.......sheesh your innocence is like those Vampire Shows chix love......kissy kissy suck the  blood out of me  oh ...why bother..............

Here in Woodstock On-tare-ee-o, you can SEE the Toyota Rav4 plant out the side door of the local Toyota stealership and you can bet yer life that the poor saps who buy those things pay just the same as anyone else who buys one.  Heck they could get the old, semi-retired shuttle guy to walk over to the plant and drive one back for free.
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Offline safristi

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Re: Hyundai in Canada?
« Reply #17 on: November 09, 2011, 03:46:29 pm »
yeah i see yer Avatar "shuttle guy"  nothing to hide :o ;D...............well things should COST MORE the further you are away from the source....where is it written everyone gets a FREE RIDEcos shipping is a NON ISSUE....don't folk fly to EUROLAND pick up a Volvo or whateffer and get a free factory tour...4 weeks touring and Free shipping back to Canada..................now that's a Delivery charge that has some balls behind it..............

Offline chrischasescars

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Re: Hyundai in Canada?
« Reply #18 on: November 09, 2011, 11:22:27 pm »
Hyundai and Kia have manufacturing facilities in the southern U.S., so they do have a presence in the North American manufacturing sector. I like the idea of building cars where they're sold. Maybe Canada needs to impose stiff levies on cars built elsewhere and imported here, in order to stimulate expansion in the auto manufacturing sector. It works in Brazil - loads of car companies from all over the world build cars there, and people buy them, because imported vehicles cost so much more thanks to the government's stiff import duties.
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Re: Hyundai in Canada?
« Reply #19 on: November 09, 2011, 11:37:56 pm »
Canada needs to impose stiff levies on cars built elsewhere and imported here, in order to stimulate expansion in the auto manufacturing sector.


Will never happen.  Most of the cars imported to Canada, are built in the USA.  So by your reckoning, those cars should be heavily taxed.  Will never happen.
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