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NAMYANG, Korea -- The Hyundai brand, with sales in Canada continuing to set monthly and yearly records, is at a pivotal point in its history.
It has succeeded in shaking the quality issues that once plagued its products, now ranking with the best in the industry. Its next goal is to move the brand upmarket, though not in the conventional sense.
As Frank Ahrens, director of Hyundai's global PR team, explained during a tour of the company's homeland facilities, the Korean automaker is not only committed to maintaining the high level of quality but considers it's time to develop a more upscale image.
Although it already has premium models in its lineup, such as its Genesis and Equus sedans, Hyundai wants to bring some of those luxury elements to its less-expensive models, Ahrens says. Just because a car is priced as an entry-level model doesn't mean it can't have some of the amenities that are common in more expensive cars, he says.
For a company that's building its success on delivering great value at any price point, this latest strategy fits well.
The place where such ideas will be put into practice is the company's research and development centre here in Namyang. This sprawling facility, which spills over reclaimed land that would easily accommodate 500 football fields, is the cradle for all Hyundai vehicles.
It's also the birthplace of models by Hyundai's sister company Kia, although, once the common platforms and powertrains have been engineered, there's no further "sharing." In fact, the next step in bringing a new product to life -- the design development of the exterior and interior -- becomes very private.
Lee Byung Seob, director of Hyundai's styling group and design centre, was crystal-clear when asked if he and Peter Schreyer, his counterpart at Kia, ever exchanged thoughts about product design. "No, I don't communicate with him," he responded bluntly. It didn't sound as though they even exchange Christmas cards.
In addition to developing new technologies such as solar-cell sunroofs and "Nano" windshield glass that will minimize the need for wipers, Lee and his team create new products. The process starts with visualizing the design through interior and exterior sketches. The next step is digital modelling, where the smallest details are added to determine feasibility. And, finally, there's the building of full-sized clay models and hand-built interiors that bring the car to life.
The Namyang centre, however, is more than a design facility, although about 500 designers are among the 10,000 people working there. There are three districts within the centre, with the design team, engineering (which employs 1,500 staff engineers, plus another 1,500 guest engineers) and powertrain development (which has about 2,000 engineers on staff, including 108 with doctorate degrees) all working in District A.
District B is comprised of a wind-tunnel facility and hot/cold chambers to test products in extreme temperature conditions. The third district includes a pilot production centre, where assembly techniques for new models are tested, as well as a crash-testing facility, where about 600 vehicles were crunched last year to ensure occupant safety meets the highest standards.
Then there is the proving ground with 70 kilometres of roads featuring 71 different surfaces, plus a 4.5-km high-speed test track. The aero-acoustic wind tunnel is designed so it can be used to evaluate the aerodynamic forces on a vehicle. The 100-metre-by-60-m test chamber is also capable of measuring noise levels within the vehicle. Interestingly, the 8.4-metre-long fan, which can generate wind speeds up to 200 kilometres an hour, was built in Canada.
To demonstrate the value of wind-tunnel testing, Hyundai engineers have been able to reduce the average aerodynamic drag of its lineup by 20 per cent over the past 10 years -- a key factor in improving fuel economy. At the time of our visit, a Veloster hatchback was undergoing aero tests. Although the car was under a cover to deter us from seeing the changes being evaluated, it was apparent that a more aggressive spoiler and redesigned tail lamps were being considered as steps to reduce drag and improve rear downforce, which seems to be a bit lacking in the initial iteration.
Some new items not under wraps were discovered while touring the powertrain centre. This department dates back to 1984, when it was established in Mobuck, Korea. Those engineers developed the first proprietary powertrain -- Hyundai's own engine -- in 1991. The department moved to Namyang in 2000, where it now develops a range of engines, including gasoline power, diesels for passenger and commercial models and future powertrain projects such as fuel-cell and all-electric systems, as well as transmissions for the Hyundai and Kia lineups.
While Hyundai has recently introduced an eight-speed automatic, it revealed that a 10-speed automatic is currently in the works. The six-speed dual-clutch transmission in the new Veloster will also be getting an upgrade, with a seven-speed version under development. And a new Kappa CVT (continuously variable transmission) will be available for the 2012 Accent.
One highlight from the engine department is the new Tau 5.0-litre V8 with direct gas injection, coupled to an eight-speed automatic transmission. This potent powertrain, with about 435 horsepower on tap, is available in North America in the Genesis R-Spec.
Although no one would speak officially about them, at least four interesting Velosters were spotted at the proving ground. Although wrapped in camouflage, the large round exhaust pipes peeking out from under the canvas confirmed whispers about a turbocharged version in the works. Speculation suggests that this much-needed performance boost will be announced early next year, likely at the North American International Auto Show in Detroit.
Whether it's developing new powertrains, designing new models or simply finding cost-efficient ways to integrate high-end features into lower-end cars, Hyundai's world-class R&D facility is equipped to find the right solution.
-- Postmedia News