It’s all about the money these days and big companies like automakers do have the luxury to base their activities in different parts of the world. Hyundai, Korea’s largest automaker and the world’s 4th largest, will be taking the production of its i20 small car from India to Europe by mid-2010.

The reason? Tax benefits. Hyundai’s India plant can currently produce 200,000 i20s in a year. However, Hyundai sees an opportunity to slash operation and production costs due to tax benefits and plans to move the production of 70,000 cars to another plant in Europe.

Hyundai hasn’t announced to which part of Europe they will be shipping production but given Hyundai’s production locations in Europe, it will most likely be in the firm’s Turkish plant.

Hyundai is an emerging big player in today’s market through clever marketing and product development. Their recent success in the US through anxiety marketing and the affordability of their cars is testament that Hyundai can be a force to reckon with.

Source: Autocar