South Korea: Hyundai cuts price of Sonata Hybrid to revive sales

The Chosunilbo - Hyundai Motor has released a cheaper version of its Sonata hybrid sedan priced at W28.65 million (US$1=W1,128), W1.1 million less than the original, the company said on Wednesday.

Experts say Hyundai rolled out the cheaper model because consumers’ interest in the hybrid car is waning just six months since its launch. Also, Japanese rival Toyota recently unveiled its new Camry hybrid in the Korean market with a price tag some W3 million lower than its predecessor, which was released here in 2010.

The new Sonata hybrid costs W4.3 million less than the deluxe model (W32.95 million) and is W950,000 cheaper than even the most expensive gasoline-powered Sonata.

The company brought down the price by ditching luxurious interior features, such as a leather steering wheel, leather gear knob, leather door trim and rear armrest.

"We thought there was no need to put a financial burden on consumers by adding luxurious interior accessories, as people who buy hybrid cars tend to care about economy," a Hyundai staffer said.

Kia is also expected to lower the price of its K5 hybrid soon.