Hyundia i20 Red front three quarters right

Australia: Hyundai i20 will be dropped from line-up

July 28, 2015

The second generation i20 will not be sold in Australia, Hyundai’s local COO, John Elsworth, has confirmed. The first-gen i20 is currently the cheapest Hyundai offered in Australia and it has been on the market for five years.

Although the second-gen i20 is already on sale in Europe in 5-door hatch and 3-door coupe forms, Hyundai is still selling the first-gen i20 in Australia. It is imported from the company’s factory in India.

However, Hyundai’s India plant can’t produce the all-new i20 with European and Australian safety standards and so, it will have to be imported to Australia from the South Korean automaker’s facility in Turkey. As reported earlier this year, this has been creating problems because of the unfavourable exchange rate and logistics costs involved in importing the car from Turkey. The company had initially postponed the launch but now it has now decided to drop the model from the Australian line-up.

“We’ve been unable to reach an acceptable commercial agreement with our colleagues,” Mr. Elsworth told Motoring.com.au at third-gen Tuscon’s Australian launch.

He further added: “There are two factors – the exchange rate and the logistical costs to get the cars to Australia.”

The i20’s replacement as the entry-level Hyundai car in Australia will be the Accent Active 1.4. It will be sold in both 4-door sedan and 5-door hatchback models. The price of Accent will start at AU$14,990, which is around AU$1,000 less than the i20.

The first-gen Hyundai i10 was never sold in Australia but the company did have plans to launch the second generation model which arrived in 2013. But now, that plan is also dropped just like the second generation i20’s. The old i20 will be phased out once the stock is cleared, probably sometime next year.

[News Source: Motoring]

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