Hyundai forced to increase production

September 12, 2012 12:00 AM

Hyundai recently celebrated record sales figures, but that popularity comes at a price. The high demand for the automaker's vehicles is limited by the supply of its cars - it's selling just about all of the stock that it is producing.

A recently ended worker strike at the company's largest plant in South Korea hampered production, but AutoBlog reports that new working conditions include a 15 percent reduction in production hours - which could total over 200,000 vehicles per year. Officials claim that the new hours will help increase productivity, but for now the estimates are uncertain.

To make up for the stall in production out of South Korea, the company's Alabama factory has been forced to increase its production as well. According to the Montgomery Advertiser, the plant's August numbers were the highest in its seven-year existence. That record likely won't stand for long, as hundreds of employees were added to make up a new third production shift.

The tight supply of vehicles has boosted prices for Hyundai and Kia. Higher rates, a lack of incentives and limited supply may urge interested customers to turn to vehicle maintenance or car repair on their current models instead of buying new, but until the numbers reveal how Hyundai stands up against other automakers that outlook is unknown. 

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