The Hyundai car company in Nošovice in Frýdecko-Místek will stop production for one day on Friday. The reason is the low demand for electric cars. The server said it Zdopravy.cz. Employees who stay at home will receive 70 percent of the average wage.
The automaker Hyundai assumed that this year the share of purely electric cars in its production will be 17 percent. However, due to low demand, it is only ten percent, which is a drop of three percentage points compared to last year. “Ten percent is not enough, but the problem is the difference against expectations. For example, we have contracted capacities with battery manufacturers. Some suppliers are on the edge of capacity with regard to the demand for hybrids,” said company spokesman Petr Michník at a conference in Brno last week.
According to him, the development of the market is very unpredictable even in the coming years. He reminded that stricter emission standards are to apply from next year and it is not certain whether they will not be eased in the end. “We face fines if we don’t sell enough low-emission cars. There aren’t many ways to solve it and those solutions don’t make economic sense. And they don’t make sense for customers and probably not for the whole of Europe either,” said Michník.
Nationalization Day
Marian Kechlibar
COMMENT
In total, the car plant in Nošovice produces 40 percent of cars with alternative drives, including hybrids. Since the customers are also outside Europe, the share of cars with alternative drives for Europe is even higher. “Electromobility is still a clear future for us. We are now able to produce 30 percent of electric cars and we are preparing for the step of increasing the capacity to 50 percent. When that will happen depends on the development of the market,” commented Michník. Next summer, the factory will increase battery production after rebuilding one of the halls.
Interest is currently growing in cars with internal combustion engines. The total volume of production is therefore even above the production plan this year, by about 3,000 cars, the server said. Over 330,000 cars are expected to leave the Nošovice factory for the whole year, and 3,100 people work there.
The entire group, which is headquartered in South Korea, plans to increase global car production to 5.5 million in 2030, which is a thirty percent increase compared to last year. Two million of them are to be electric cars, the number of models is to reach 21. The number of hybrid models is to increase from seven to 14.
Did Andrej Babiš burn through what he shouldn’t have?
Little Margaret
COMMENT
Welcome, ladies and gentlemen! Today, we’re diving into the world of Hyundai—where they’re stopping production for a day due to a ‘low demand for electric cars’. Sounds like the kind of logical business decision your mate makes when pizza topping debate turns serious… “Sorry, I can’t do Thursday, the pepperoni’s just not selling!”
Now, as reported by Zdopravy.cz, our friends in Nošovice are adjusting their expectations of electric vehicles (EVs) like a teenager adjusting their Spotify playlist—this year they expected 17% of production to be electric cars, but they’re only getting about 10% of their hopes and dreams, leaving us all wondering; is it us or is it them?
And who can blame them? With stricter emission standards on the horizon and an uncertain market, they’re sitting there with a giant box of batteries and not enough toys to put them in. Company spokesman Petr Michník came straight out and said it: “We face fines if we don’t sell enough low-emission cars.” It sounds like a challenge, doesn’t it? “Oh dear, they didn’t buy the EV? Give them a fine! Call it a reverse incentive—now that’s business!”
Car Factory Shenanigans
In fact, the factory may produce 40% of cars with alternative drives, but that also includes hybrids. They’re essentially saying, “Hey, we can fill your tank with half-electrons, half gasoline!” But let’s face it—who wants a hybrid when you can have a shiny, new internal combustion engine that purrs like a kitten on caffeine? Interest in those little beauties is climbing like a cat up a tree, leaving those EVs shaking their heads.
They’re still planning to shove 330,000 cars out of that factory this year, which sounds quite productive until you remember it’s more like playing a really long game of automotive Tetris. The real kicker? They’re planning to produce 5.5 million cars globally by 2030 and two million of those will be electric. Now that’s ambitious. It’s as if Hyundai is the ambitious sibling—“One day, I will own half the electric car market!”—while the rest of the industry is at a house party in their parent’s basement, asking, “So… how’s your job search going?”
Is Andrej Babiš a Culprit?
Now, let’s throw a bit of controversy into the mix. Is the common man to blame for this car conundrum? You wouldn’t be surprised if some people asked if Andrej Babiš burned through what he shouldn’t have. The reality check comes harder than a speeding car at the hands of scrutiny—what’s happening in the market isn’t just about trends, it’s about consumer behavior.
So, as we watch Hyundai take a day off, let’s toast to them with our not-so-electric mugs of coffee—hoping one day they’ll juice up that production line faster than you can say “clean planet!” And who knows? Maybe one day you, too, will find joy in the world of electric drifters, rather than just that smelly petrol station down the road.
Remember folks, if life hands you lemons, just remember what Hyundai is doing—turn those lemons into EV batteries and keep rolling on with style!
In a significant move indicative of fluctuating market conditions, the Hyundai manufacturing facility located in Nošovice, Frýdecko-Místek, has announced a temporary halt in production for one day this Friday. This decision stems from a noticeable decline in consumer demand for electric vehicles, as reported by the news outlet Zdopravy.cz. Employees opting to stay at home during this pause will receive 70 percent of their average wages, reflecting a cautious approach to workforce management amid changing market dynamics.
The automaker initially projected that this year, 17 percent of its production would consist of purely electric vehicles. However, the reality has fallen short, with the current share sitting at only ten percent—a decline of three percentage points when compared to last year’s figures. “Ten percent is not enough, but the challenge lies in the difference against expectations. We have commitments with battery manufacturers, and some of our suppliers are at capacity limits due to the rising demand for hybrid models,” indicated Petr Michník, a company spokesperson, during a recent conference held in Brno.
Looking ahead, Michník expressed concerns about the unpredictable trajectory of the automotive market in the coming years. He underscored the urgency surrounding stricter emission standards that will come into effect next year, although there remains uncertainty regarding potential easing of these regulations. “Failure to sell an adequate number of low-emission cars could lead to hefty fines. We have limited viable solutions, most of which lack economic viability and may not resonate with consumers or the broader European market,” Michník explained.
In total, the Nošovice facility is responsible for 40 percent of production involving vehicles with alternative drivetrains, including hybrids. The company aims to transition towards a greater focus on electromobility, targeting 30 percent for electric vehicle production and planning to ramp up to 50 percent as market conditions permit. The facility is set to boost its battery production next summer after completing renovations on one of its production halls.
Despite the current challenges in the electric vehicle segment, interest in cars powered by internal combustion engines is experiencing a resurgence. The factory’s total production volume is projected to exceed its production targets this year by around 3,000 vehicles. An impressive total of over 330,000 cars are anticipated to roll out from the Nošovice plant throughout the year, supporting the employment of approximately 3,100 individuals at the facility.
On a global scale, the South Korean parent company is strategizing to raise its total vehicle production to 5.5 million by 2030, which marks a solid thirty percent increase from the previous year. Out of this expansive production goal, two million units are expected to be electric, complemented by an ambitious plan to expand the range of models from seven hybrid variants to 14 in the coming years.
