ge4989874073770450276
Mike Sinclair28 Jul 2015
NEWS

Hyundai axes i20

Accent to take up entry-level role as Hyundai rules out new i20 and i10 for Oz

Hyundai Australia has axed the i20.

Currently the Korean brand's cheapest model, the five-year-old hatchback was previously expected to be superseded by an all-new Euro-sourced model in 2016.

Instead, Hyundai's light-car role in Australia will instead be filled by a 1.4-litre version of the current Accent.

It will be priced from $14,990 – down from the current 1.4-litre i20's starting price of $15,590 and the existing 1.6-litre Accent's base price of $16,990.

Nor will Hyundai introduce the pint-size i10, despite the fact its sister brand Kia plans to release its mechanically related Picanto micro-car.

Hyundai's local COO John Elsworth confirmed the exit of the i20 at today’s launch of the new Tucson crossover.

Elsworth said the move was necessary as the company had ruled out an Australian introduction for the new-generation i20 and updated i10 on “commercial grounds”.

“We’ve been unable to reach an acceptable commercial agreement with our colleagues," he said.

“There are two factors – the exchange rate and the logistical costs to get the cars to Australia,” Elsworth told motoring.com.au.

The i20’s replacement, the Accent Active 1.4, will be offered in both five-door hatch and sedan variants. A CVT auto model will be offered at $16,990 (all prices are recommended retail, plus on-road costs).

Elsworth would not confirm the drive-away pricing for the new car, however, expect Hyundai to significantly sharpen its pencil to maintain momentum in the value-driven segment.

“We still need to have a discussion with our dealers,” Elsworth said.

“As sales and marketing people that’s what we do. We’ll manage it [pricing] – if we have to tweak the dials we will,” he said.

The outgoing i20 is built in India and has been on sale here since 2010, when it replaced the hugely popular Getz, but the smaller i10 has never been sold here. Motoring.com.au understands only a relatively small number of i20s remain unsold.

Hyundai Australia has locally evaluated both the i10 and the new-generation i20, which is available in Europe in five-door hatch and three-door 'coupe' forms, forms the basis of Hyundai's World Rally Championship assault and is expected to underpin the Korean giant's first N-branded performance model.

As late as April this year it was still working to secure the Turkish-built vehicles for this market.

The Accent, meantime, is no spring chicken. The current RB-series has been on sale since 2011.

The demise of the i20 and the move of the Tucson from the small to medium SUV segment sees the company’s footprint in the cheapest end of the new car marketplace significantly eroded.

Elsworth says a new compact SUV is “at least a couple of years away”. 

Share this article
Our team of independent expert car reviewers and journalistsMeet the team
Stay up to dateBecome a carsales member and get the latest news, reviews and advice straight to your inbox.
Download the carsales app
    AppStoreDownloadGooglePlayDownload
    App Store and the Apple logo are trademarks of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.
    © CAR Group Ltd 1999-2024
    In the spirit of reconciliation we acknowledge the Traditional Custodians of Country throughout Australia and their connections to land, sea and community. We pay our respect to their Elders past and present and extend that respect to all Aboriginal and Torres Strait Islander peoples today.