Hyundai, Kia’s H1 vehicle sales in Singapore double

South Korea’s top automaker Hyundai Motor Group said on Sunday its vehicle sales in Singapore, a high-tech innovation hub, more than doubled in the first half of this year from a year earlier, driven by its electric vehicles such as the IONIQ 5.

Citing data from Singapore’s Land Transport Authority (LTA), the Korean automotive group said new vehicle registrations in the Asian country of its two automaking units — Hyundai Motor Co. and Kia Corp. — reached 1,557 units in the first half, up 106% from a year earlier.

Hyundai Motor saw a 182.6% surge in registrations, for a total of 941 vehicles.

Although the volume appears relatively small, Hyundai said the results are “a significant achievement" given that in Singapore the cost of a new car is among the highest in the world.

Singapore also has strict regulations that require people to have a certificate of entitlement (COE) to buy a new car, a policy aimed at controlling urban pollution and traffic congestion.

The COE can only be acquired through auctions held twice a month, and the cost of buying cars with engines larger than 1,600 cc can reach 100,000 Singapore dollars (US$76,652).

Moreover, car buyers have to pay various taxes such as registration fees and road usage fees.

HMGICS, HYUDAI’S R&D CENTER AND PRODUCTION FACILITY

Hyundai Motor attributed its strong first-half vehicle sales to the Hyundai Motor Group Innovation Center Singapore (HMGICS), one of the carmaker’s innovation labs worldwide.

HMGICS, which opened last November in western Singapore, also serves as an electric vehicle manufacturing facility.

The Korean automaker produces the IONIQ 5 electric crossover and robotaxis based on the IONIQ 5 at the innovation center. In July, the company also began producing the IONIQ 6 electric sedan there.

Notably, Pope Francis used the IONIQ 5 Prestige produced at HMGICS as his Popemobile in Singapore when visiting the country last month as part of his 12-day trip around the Asia-Pacific region.

The 58 kWh Prestige model can travel 6.6 km per kWh, with a maximum range of about 380 km on a single charge. It can charge up from 10% to 80% charge in 18 minutes.

PARTNERSHIP WITH SINGAPORE’S EV CHARGING FIRMS

Hyundai Motor aims to strengthen its position in Singapore, a market with high entry barriers for new cars, by focusing on eco-friendly vehicles such as electric cars.

Its sister firm Kia is also targeting the local market by introducing the EV9, its large electric SUV, to Singapore in January.

Kia has already launched the Niro EV and Carnival Hybrid in Singapore.

To bolster its presence in Singapore, Hyundai Motor Group is also vigorously expanding the EV infrastructure there by forging partnerships with 17 local charging service providers.

Singapore aims to convert all vehicles in its territory into eco-friendly models, such as electric, hydrogen fuel cell and hybrid cars, by 2040.

As part of such efforts, half of the country’s 6,000 diesel-powered public buses will be replaced with electric buses by 2030.

Starting in January 2025, the registration of new diesel-powered vehicles, including taxis, will be banned.

Write to Jin-Won Kim at jin1@hankyung.com
In-Soo Nam edited this article.