Hyundai Motor Co. announced on Sunday its plans to venture into the certified secondhand electric vehicle (EV) market, aiming to broaden its range of used vehicles and enhance profits from the business. Starting in March, the South Korean automaker will commence the sale of certified secondhand EVs that meet stringent quality standards.
To address potential customer concerns regarding EV battery performance and reliability, Hyundai will establish certification standards in collaboration with its research and development institute. These standards will assess battery damage and determine the lifespan of the batteries.
In the current year, Hyundai aims to sell a total of 15,000 used cars, encompassing both traditional and electric vehicles. This target, although slightly lower than the undisclosed original goal, accounts for the subdued state of the used car market.
Hyundai entered the used car market in October of the previous year, becoming the first domestic carmaker to do so following the government's lifting of a ban on large companies entering the market. While Hyundai cannot surpass a certain market share to protect smaller car dealers, it has been exclusively selling certified cars in the secondhand market under its Hyundai, Kia, and premium Genesis brands.
Certified cars must meet specific criteria, including having traveled less than 100,000 kilometers over up to five years and having no accident history. Over the past 100 days, Hyundai has sold a total of 1,057 units of certified used cars, with the Grandeur model leading the sales at 181 units.
To attract more car owners, Hyundai plans to increase the purchase price of used cars from 2% of the estimated vehicle price to a maximum of 4% this year. The company also intends to open new certified used car centers in the Seoul Metropolitan Area to enhance consumer accessibility.
Furthermore, Hyundai will extend the warranty on certified used cars by one year and 20,000 km, benefiting buyers whose three-year, 60,000 km warranty has expired and those with a remaining warranty of one year and 20,000 km.