Hyundai Motor plans to run its factories at a higher capacity to meet an order backlog of about 150,000 cars according to a Bloomberg report. The report says that the backlog is the result of higher demand and the effects of a strike in December.
The outlook for sales in Korea has improved this year. Analysts say that a number of major events in South Korea this year, including the World Cup soccer finals, compounded by the government’s lowering of special consumption taxes late last year to spur buying, will drive Hyundai to see higher 2002 sales.
The Bloomberg report adds that overseas orders, which account for about 60 percent of the 150,000 cars, have piled up largely because inventories were depleted when workers went on strike in December.
South Korea’s largest carmaker said earlier this month that it expected to sell 1.88 million vehicles this year, up from an earlier forecast of 1.68 million and 17.5% above record sales of 1.6 million last year.