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2015 global auto sales rankings. Data: provided by each company

Hyundai-Kia Motor hung on to 5th place in last year’s world automobile sales rankings, but faced a widening gap with the companies ahead.

Meanwhile, Volkswagen passed Toyota to reclaim the world number one spot despite its recent “Dieselgate” scandal.

According to a Feb. 12 examination of reported sales performance for last year, Hyundai-Kia held firm in fifth place with 7.88 million vehicles sold in the global market. The number was down 1.3% from the year before, while all of the companies ahead of Hyundai-Kia experienced increased sales.

Volkswagen passed Toyota to take first place with 10.31 million vehicles sold, an increase of 3.8% from the year before. While it experienced sharp declines in sales in the US, which was ground zero for Dieselgate, and South Korea, where major models were banned, the German automaker enjoyed strong sales in China, the world’s biggest market. Volkswagen sold 3.98 million vehicles in China last year, up 12.2% from the year before.

Toyota slid to second place with 10.18 million vehicles sold, enjoying a slight 0.2% increase from the year before. The world automobile market leader for four years straight since 2012, Toyota allowed Volkswagen to pass it with a decline in sales in the US, its chief market.

General Motors (GM) held on to third place with 9.97 million vehicles sold, an increase of 1.3%. Sales increased by more than 7% in China, which accounts for over one-third of its sales.

Hot on GM’s heels was Renault-Nissan with 9.96 million vehicles sold. Renault-Nissan opened up its lead over fifth-place Hyundai-Kia even more with Nissan’s May 2016 acquisition of a 34% share in Mitsubishi, which was facing a scandal over mileage tampering.

The slump for Hyundai-Kia was the result of a number of factors, including stagnant domestic demand, flagging exports, and strike-related operation setbacks. It was the first time in three years its sales fell below 8 million.

Indeed, recent performance suggests Hyundai-Kia Motor may be facing a full-blown crisis. Sales continue to drop, while market share declines. Falling operating profits have led to diminished profitability.

Hyundai-Kia has established plans to overcome its woes this year with an aggressive management approach focusing on new models. Its sales target for 2017 is 8.25 million vehicles, a historic high.

By Hong Dae-seon, staff reporter

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