Hyundai Motor Delivers Hybrid Cars To Government October 2004

Hyundai Motor Co., Korea's largest carmaker, yesterday delivered newly developed hybrid cars to the government for testing this autumn in an ambitious drive to introduce a model by 2007.

"We have strived to develop eco-friendly cars since the early 1990s. Responding to the government's initiative to promote such alternative cars, we will make further efforts to achieve the best quality in this field," Hyundai Chairman Chung Mong-koo said during the handover ceremony at the Grand Hyatt Seoul yesterday.

Hyundai provided 50 Click hybrid mincars to the Ministry of Environment. Company officials said ministry staff will drive the cars during the course of their duties. Data collected from the tests will be used to further improve the car.

Hyundai plans to introduce hybrids to the domestic market in 2007. Its project gained momentum after the government in August announced policies to promote hybrid cars. The officials in Seoul say they plan to offer tax breaks on homegrown hybrid cars beginning in 2008.

"The government well understands the importance of eco-friendly cars to the global auto industry. We are ready to provide full support for local carmakers developing such alternative fuel cars," said Prime Minister Lee Hae-chan during the ceremony.

Hyundai plans to mount the hybrid engine on new compacts that will replace the Verna model. The officials said they are also considering hybrid versions of other models. They declined to elaborate on the lineup, citing strategic reasons, but said they are unlikely to develop a new model dedicated to the hybrid engine.

Hybrid cars run on battery power at low speeds and switch to traditional internal-combustion at higher speeds. Hyundai claims its Click hybrid gets 18 kilometers per liter, featuring about 50 percent greater fuel efficiency than gasoline-powered cars.

Hyundai is the only Korean carmaker developing such alternative fuel cars. Kia Motors Corp., the nation's No. 2 carmaker, shares research and technology facilities with Hyundai Motor. The Hyundai affiliate said it does not have a separate project to develop a hybrid model. GM Daewoo Auto & Technology Co., the third-largest carmaker here, also said it is not developing such a car.

Hybrids were initially designed to fill the gap between gasoline-powered cars and hydrogen fuel-cell vehicles that are still in the development process. Fuel cells generate electricity during a chemical reaction between hydrogen and oxygen. Unlike standard internal-combustion engines, their only emission is water.

Hyundai is also working to develop hydrogen fuel-cell vehicles. In April, the carmaker joined the U.S. government's project to test its hydrogen-fueled sport utility vehicles. Hyundai officials expect fuel-cell cars to be commercialized around 2010.

SOURCE: Korea Herald

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