One other Automaker Has a Blunt Tackle Why Wagons Are Fading Away

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  • Hyundai is not pursuing wagons as a result of gross sales maintain slipping.
  • Its SUVs are extra worthwhile than wagons.
  • The long-roof i30 continues to be out there in sure markets.

It was solely a few months in the past that Mercedes’ Head of Exterior Design gave his blunt tackle the state of the wagon in 2026. Robert Lešnik stated “nobody is buying them in America” and the “Chinese language don’t perceive them.” Now, a mainstream automaker can also be sounding the alarm for estates because the section continues to say no. Hyundai’s European boss believes the long run appears bleak for this physique model as SUVs proceed to realize traction.

Talking with Auto Express, Xavier Martinet stated Hyundai isn’t spending cash on new wagons as a result of there isn’t sufficient buyer curiosity to justify recent funding. Echoing Mercedes’ place, Hyundai has additionally concluded that consumers in america and China should not enthusiastic about wagons. The corporate nonetheless caters to wagon fanatics in choose markets the place the i30 Property stays out there, however the mannequin is starting to indicate its age after practically a decade on sale.

‘There’s a cause we don’t speak about estates a lot: on this section demand shouldn’t be rising. You allocate your funding and [engineering] sources to tasks that take advantage of sense. Proper now, there’s some demand, however not lots, so it doesn’t justify it.’




SUVs Are Extra Worthwhile

Other than weak demand, there’s another excuse Hyundai isn’t allocating funds and sources to new wagons. Martinet admitted SUVs generate larger revenue margins: “Often we handle to earn more money with an SUV than a station wagon.” Whereas it’s straightforward to criticize automakers for launching the umpteenth crossover, that’s what consumers need, and it makes the corporate more cash than a slow-selling wagon with a decrease revenue margin than an equal SUV.

That’s to not say wagons are useless. Europe stays the final bastion for long-roof fashions, and there are nonetheless loads of compact and midsize property vehicles for consumers who don’t need to take care of the downsides of an SUV. From the Volkswagen Golf Variant to the BMW 5 Collection Touring, Europeans stay comparatively spoiled for alternative. Simply final week, Audi introduced again the A6 Allroad and gave it some RS6-worthy wide hips.

Even Hyundai’s sister model Kia stays dedicated to the section, launching the K4 Sportswagon in Europe as a substitute for the growing older Ceed Sportswagon. It competes in opposition to fashions such because the Skoda Octavia Combi from the VW Group and the Peugeot 308 SW from Stellantis. It reveals that the wagon isn’t fully useless, however there’s clearly more cash to be made with SUVs.




Motor1’s Take: I don’t assume the wagon section will ever disappear. Even with the meteoric rise of crossovers and SUVs, there’ll at all times be a bunch of consumers preferring an property for all the advantages it presents. Having owned a Fabia Combi again within the day, I’m actually amongst them, and I’m lucky to reside in Europe.

Nonetheless, I notice there’s not a lot alternative outdoors the continent, and given the present state of the market, that state of affairs is unlikely to alter. On a optimistic word, Audi has confirmed that the A6 Allroad will return to the U.S. in 2027.



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