Hyundai Fires CEO of U.S. Sales Unit

Hyundai Motor Co. has fired Dave Zuchowski, CEO of Hyundai Motor America, for failing to meet internal sales targets, sources tell Automotive News.

The company named Jerry Flannery, the North American unit’s general counsel, as interim CEO.

Zuchowski joined Hyundai in 2007 as its U.S. sales chief. He replaced John Krafcik as CEO in early 2014. Since then, Hyundai’s sales in the American market have slowed, in large part because the brand’s car-heavy lineup doesn’t align with surging consumer preferences for trucks and SUV/crossover vehicles.

Hyundai sales through the first 11 months of 2016 grew only 2% to 712,700 units, according to Autodata Corp. Over that period, a 4% drop in deliveries of Hyundai cars—which represent 75% of total volume—nearly offset a 23% jump in crossover vehicle sales. Last month the company’s car sales were flat, and truck sales gained 15%.

Zuchowski’s departure is the latest in a long series of top management changes in the U.S., all prompted by sales concerns among Hyundai’s top leadership in South Korea.