Hyundai Motor Group has recently (re)merged separately run Hyundai and Kia units into one in China, according to a Korean report.

The Korea Economic Daily said Hyundai Motor moved Beijing Hyundai, which previously reported to the planning department, and the Chinese business unit, previously reporting to the overseas sales headquarters, to the direct supervision of the Chinese business headquarters. Beijing Hyundai makes the cars while the Chinese business unit sells them.

Such a split, each company usually a joint venture between foreign and local partners, is not uncommon. Some years ago, Mazda had to stop making cars in China for months because its separate sales unit had fallen foul of local regulations and could not 'move the metal'.

Kia Motors also recently moved Dongfeng Yueda Kia and the Chinese business unit of the overseas sales headquarters to the group's Chinese business headquarters, the paper reported. The head office for China is currently headed by president Kim Tae-yoon who was appointed last October.

The group said the reorganisation was to improve communication and speed the decision making process between the two business units in China.

Production and sales units of both Hyundai Motor and Kia Motors in China used to be under one roof but were separated in July 2014 after Hsueh Yung-hsing, then Hyundai Motor Group vice chairman in charge of China, retired and took up a post as adviser after 10 years of service.