Korea makes inroads in automobile quality

DETROIT — The average quality of new cars and trucks improved significantly in the past year, but no automakers fared better than the once-suspect Korean brands, which for the first time topped domestic and European automakers in initial quality, according to a closely watched study of 2004 models released Wednesday.

Led by Hyundai, Korean vehicles have reduced quality problems by 57 percent in the past six years, dropping from 272 problems per 100 vehicles in 1998 to 117 problems per 100 vehicles this year, according to the annual report by J.D. Power and Associates.

Korean vehicles had five fewer problems per 100 vehicles than their European rivals, and six fewer than domestic brands. The Koreans still trail Japanese automakers by six problems per 100 vehicles.

"A decade ago, as Korean manufacturers struggled with a universally poor reputation for vehicle quality, no one would have predicted they could not only keep pace, but actually pass domestics and other imports in terms of initial quality," said Joe Ivers, J.D. Power’s executive director for quality and customer satisfaction.

"This demonstrates how vastly more competitive the market has become — which is good news for consumers, who will ultimately benefit."

Toyota Motor Sales USA Inc., which includes the Lexus luxury brand, once again was the company with the highest overall initial quality. Toyota Motor Sales had 101 problems per 100 vehicles — 18 fewer than the industry average.

Toyota’s Lexus brand was again tops among all brands, with 87 problems per 100 vehicles — six fewer than No. 2 Cadillac. Those same brands were first and second, respectively, in last year’s study, although Cadillac then trailed Lexus by 27 problems per 100 vehicles.