I’d like to think that it’s time the global car industry moved past its old fixation on national characteristics, but apparently the “national question” is still relevant, at least to Peter Schreyer, Kia’s German-born chief designer. Previewing his latest design concept, the Naimo EV, Schreyer tells Automotive News [sub]

A lot of people ask what is the K-factor, what is the Koreaness, in the cars, which is hard to answer because there isn’t any really. To be honest, we don’t want the cars to look Korea.

This one we did with the inspiration of using Koreaness. So it will have some clues in it coming from Korean crafts and art

How so?

Its pale green jade color is derived from that used in Korean Celadon-style pottery. The headliner is made from hand-crafted hanji paper. Korean oak is used to trim the doors and cover the floor, as it is in traditional Korean architecture.

And the rest of the design? Is that supposed to reflect Schreyer’s “Germaness,” or is it a product of his German-based perception of what “Koreaness” is supposed to be? Meanwhile perhaps the most interesting question for Schreyer would be: how do you keep production Kias from “looking Korean”? The national question is one huge can of worms, and it inevitably leads to some awkward conversations. And, in this case anyway, it seems to have even led to an awkward design.

One of the many theories for Mahindra’s absolute botching of its long-anticipated US launch is that the Indian automaker was too busy last year acquiring its diesel-4×4 soulmate, Ssangyong. Both firms got their start building Jeep CJs, both specialize diesel-powered vehicles, but while Mahindra focuses on trucks and old-school SUVs for the developing world, Ssangyong has more experience with crossovers and MPVs as well as sales in mature markets like Europe. Together, they make an Asian invasion of diesel-powered 4x4s far more likely to succeed in the US, and Automotive News [sub] reports that the plans are already in the works. According to Chairman Yoo Lee [via AN [sub]], Ssangyong sees itself selling about 20k units in the US

two-to-three years from now – but within five years at the latest.

If true, this explains why Mahindra backed out of its deal with US distributor Global Vehicles: rather than cobbling together a sales network for pickups alone, Mahindra needs to plan for an independent dealer network in the states that’s capable of selling Mahindra pickups and SUVs, Ssangyong’s brand-new Korando crossover (reviews here and here) and possibly even REVA EVs. Think of it has one-stop shopping for all your developing-world 4×4, diesel and tiny electric car needs.

GM is pushing its Chevrolet brand as a ”world brand,” reports the Freep. First battlefields for global bowtiefication: Europe and Korea. In Korea, the matter is easy: Last month, they took off the Daewoo badge and put a bowtie on instead. As predicted by TTAC nearly a year ago. There is not much that can go wrong in Korea: Hyundai dominates the market, Dawoo’s and now Chevrolet’s market share treads water in the single digits.

In Europe, any substantial market penetration by Chevrolet is “still a long-term goal,” concedes the Freep. And then, the Detroit paper proceeds to publish completely bogus numbers: Read More >

More little steps on the hydrogen fuel cell front, part of the walk-up to the big 2015 launch: Hyundai signed a memorandum of understanding with Norway, Sweden, Denmark and Iceland to supply hydrogen fuel cell electric vehicles to public organizations in a pilot program, The Nikkei [sub] reports. Read More >

Hyundai Motor Co. today released impressive results. Net 2010 profit increased 77.8 percent to 5.3 trillion won  ($4.7 billion) on global sales of 3,612,487 units. That’s a 16.3 percent sales gain from a year earlier. Whoa, says the attentive observer of sales data, didn’t they make some 4.6 million last year? Where is the increase? The 4.6 million were Hyundai and Kia together.

Many journos will trip over that today. Read More >

If the British empire was built on cups of tea, the rise of the Korean automakers might just as well be chalked up to the restorative properties of spicy breakfast foods. There’s nothing like facing the day with sizzling tastebuds and clear sinuses to give a third-tier auto manufacturing nation the perspective needed to steal a march on its Japanese, European and American rivals. Possibly in deference to the healing powers of breakfast kimchi, Kia has named its newest city car the Morning for the Korean market and the Picanto everywhere else… and it’s sure to spice up Kia’s European sales, further extending Hyundai-Kia’s lead as the top Asian brand on the Old Continent.

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We, or rather the Financial Times saw it coming a year ago: “General Motors is considering replacing the Daewoo brand with the Chevrolet name in South Korea.” And so they finally did. Read More >

Hyundai’s Azera has long flown under the radar in this country, offering a near-luxury option that’s (at least) as stolid as it is solid. But because the Azera has never connected with America’s love of flamboyance, few know that the Grandeur, as it’s known in Korea, has a long, proud history full of grandiose names. Did you know the Grandeur was originally a rebadged Mitsubishi Debonair, and that these two suave nameplates were jointly developed for at least one generation? Only the second domestically-produced front-drive sedan on the Korean market, the first generation had to be made from Mitsubishi knock-down kits so the Korean automaker would have a luxury car ready to transport dignitaries in time for the 1988 Olympic Games in Seoul. It unseated the Daewoo Royale (an Opel Rekord/Senator mash-up) as Korea’s top luxury car, and eventually became the country’s best-selling car.

Yes, the “Azera” has had a more storied history than its near-invisible styling, marketing and name in this country seem to suggest… but back in Korea it’s making waves again. The latest Grandeur launched last Thursday, and our man in Korea, Walter Foreman, has sent us the latest production-model press shots, which give a far better sense of the car than the last set of spy shots and renderings. And though Hyundai says it expects to sell 100k Grandeurs in 2011, Reuters reports that a US launch is not going to happen until 2012. In light of the new design direction, perhaps they’re taking the time to rethink the “Azera” nameplate…

„The naming of the Chevrolet Volt as the North American Car of the Year at the Detroit Auto Show last week is sparking some controversy,” reports the Chosun Ilbo from Korea. “The main reason for the skepticism is that the Volt has sold only some 300 units since its launch a month ago. It is the first time that a car with such limited sales has won the award.”

The real sales could be less. “A GM source at the motor show admitted that the Volt’s sales were refigured at the last minute for the award,” writes the paper. What really bothers them: Read More >

“Hyundai Motor Co. and its affiliate Kia Motors Corp. sold a combined 1.1 million vehicles in China last year, becoming the second largest auto seller in Asia’s biggest car market, the companies said yesterday.”

This today in the Korea JoongAng Daily, and in case you’ve never heard of them, they are an associate of the Herald Tribune. Now why should this be a slap in the face of GM? Read More >

We are picking up more and more signs of an impending revival  of  assumed dead fuel cell technology.

Here is another one:  The Nikkei [sub] says that the Japanese government is supporting an initiative to draw a hydrogen from a surprising source: Oil refining. And they need to be ready by 2015. Read More >

Global alliances between humongous corporate entities are always intimidating and mostly ill-performing. Oftentimes they just don’t work (née Daimler-Chrysler). Other times we just don’t see the point (Ford and various ex-PAG members or GM-Saab). The Renault-Nissan Alliance, who-would-have-believed-it is maybe, just maybe, the most successful of the lot. As TTAC itself has reported earlier, the French car known as the Nissan Tiida is now America’s best-selling compact car. In Brazil, Nissan has just sprinkled some of its Nippo-fairy-wand-dust on Renault’s latest gambit in the relatively small, but very profitable executive level segment in Brazil.

Now, let’s clarify a bit. Read More >

Unable to provide meaningful representation to its dwindling membership, the United Auto Workers is continuing its post-bailout strategy of poking its nose into everyone else’s business with a protest planned for today at the Hyundai America Technical Center in Ann Arbor, MI. While its own workers face the aftermath of a bailout that saw tens of US plants shut down, the UAW opines on the Korean situation in a release which notes:

Frustrated by their temporary status, auto workers at a Hyundai Motor Co.mpany plant in Ulsan, South Korea, declared a strike on Nov. 15, and one desperate worker set himself on fire in protest of the company’s refusal to offer secure jobs. About 500 workers have since led an occupation of various plants in the Hyundai compound… To anyone interested in workplace fairness, the resolution of the Ulsan Hyundai workers’ strike is critical. It could either speed up progress toward ensuring global living wages, or provide a green light on the race to the bottom the auto industry began years ago – — with Toyota and Hyundai getting a head start.

One must, however, point out that the UAW has made its fair share of contributions to recent declines in auto worker wages. After all, it forced nearly half of GM’s Orion Assembly plant workforce to take a 40 percent wage cut in order to build a politically-popular fuel-efficient subcompact (the next-gen Aveo) in the US. Not only did this represent an unconscionable screwing of its own union “brothers” but it also directly hurts the Korean workers the UAW now so self-righteously defends by by stealing jobs using the very same “race to the bottom” that it decries. Besides, the labor situation in Korea is a bit more complex than the UAW’s Manichean moralizing makes it out to be…
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It looks like North Korea’s artillery barrage on a small South Korean island had one of those famous unintended consequences: South Korea, faced by a belligerent enemy, decided to let bygones be bygones. A shell-shocked South Korea and a proud America “completed a free-trade agreement that will eliminate most tariffs on exports and solidify one of the nation’s most significant alliances in Asia,” as the New York Times praises the deal. South Korea stared down the barrels of North Korean guns, and America won the war that never was.

Don’t run down to your Hyundai dealer just yet and expect dramatic price reductions. The deal has major hurdles to pass. And at closer inspection, it looks like an oinking pig in a poke. Read More >

The Korean Development Bank, which owns 17 percent of GM’s GM-Daewoo Korean subsidiary, has been rolling about a billion dollars in Daewoo’s debt over on a monthly basis for most of this year. The debt, a legacy of a $2b+ loss on currency speculation. Now, The Korea Times reports that GM-Daewoo has paid back about a billion of that mature KDB debt, as GM-Daewoo boss Mike Arcamone explains

this action reflects GM Daewoo’s strong financial performance this year enabling us to make full payment on the outstanding facility … Full repayment of the credit facility will decrease the company’s future borrowing costs

Read More >