Shark 6 vindicates HMCA ‘no diesel ute’ stance

HYUNDAI Motor Company Australia CEO Don Romano has revealed the company is closely monitoring the BYD Shark 6’s dramatic impact on the nation’s ute market, observing that the Chinese plug-in hybrid has taken “almost unit for unit” from Toyota HiLux and Ford Ranger volume in recent months.

Speaking at the Ioniq 9 launch in New South Wales last week, Mr Romano said the Shark’s success has validated Hyundai’s decision to avoid developing another diesel ute for the Australian market.

“Look at what they've sold in the last three months. I want you to look at HiLux and Ranger, and what’s come down in the last three months, it’s almost unit per unit,” Mr Romano said of the Shark 6’s market impact.

The frank assessment comes as Hyundai faces potential delays to its own ute program due to tariff negotiations between South Korea and the United States, with Mr Romano confirming the issue has become the company’s second-highest priority after its electric vehicle strategy.

“The only delay right now that we have is not knowing what’s going on with the tariffs,” he revealed.

“We're paying 25 per cent, we're paying 15 per cent, so there’s a lot of issues at play right now on a global basis that are going to have to be resolved.”

Since Mr Romano spoke, the US and South Korea sealed a deal under which imports would attract a 15 per levy.

Despite the uncertainty, Mr Romano reiterated his previous assertion that when Hyundai does enter the ute market, it is unlikely to be offered with a traditional diesel powertrain.

“I don’t think Australia needs another diesel ute. I think if you look at the utes overall, you’re going to see a decline in volume this year,” he said.

“I don’t think the world needs another diesel ute.”

Hyundai is instead evaluating plug-in hybrid, hybrid and battery electric options for its future ute, with the Shark’s market performance providing valuable data on Australian buyers’ appetite for alternative powertrains in the segment.

“It does say that there is a market for a different technology out there. That’s been our position,” he added.

The ute remains crucial for Hyundai’s global strategy, with the vehicle planned for North America, Australia and other Asia Pacific markets.

However, Mr Romano said any configuration decision must work across all regions.

When pressed on timing, Mr Romano indicated there is “wiggle room” in the development schedule, with teams working “at full speed” despite the tariff complications.

“Let’s just hope it all gets resolved soon. Then I can get back to you and say, okay, we’ll have this resolved by X number of months or years,” he said.

The company will also be watching the Ford Ranger PHEV’s performance, viewing it alongside the Shark as proof that Australian ute buyers are ready for electrified alternatives.

For now, Mr Romano said Hyundai wants sister brand Kia’s diesel-powered Tasman to succeed, even as it plots a different technological path for its own entry into Australia’s lucrative ute market.

“We want to be able to point to our sister company to say, ‘look at the success that they've had just having an open bed’. I think that’s important,” said Mr Romano.

“But for us, we just don't think it’s going to be wise to come out with a diesel based on the Tasman body.”