Hyundai introduced the XG in 1999 as an entry-level luxury car. Four years later, in 2003, the vehicle received a facelift that boosted its power and improved its image.
Hyundai was trying to fight in the big league with vehicles such as the Nissan Altima or Toyota Avalon, but it didn't have the right wheels to do that. So, it re-invented itself with the XG lineup. Strangely, it showed the H-badge and the lettering only on the trunk lid, while from the front, nobody could tell what brand was. The XG350 came in 2003 with design and engineering modifications, which helped the car against its competitors.
From the front, the chromed grille with vertical slats was the most prominent part. It stood out with the pined-out design, flanked on the sides by the new, clear-glass covered headlights. The front bumper featured an elegant lower grille with horizontal lines and a set of fog-lights on the outer sides. In the back, the taillights featured a new design with vertical reversing lights.
Inside, the XG350 featured heated leather bucket seats as standard. The wood-trims on the center console, dashboard, and door panels were also standard. Hyundai dared to make the doors without frames for the windows, which made it stand apart from its competitors. There was plenty of room in the back for three adults, but the bench featured a two-passenger profile pattern.
Under the hood, Hyundai installed a 3.5-liter V6 engine that featured a drive-by-wire gas pedal instead of the previously used cable-based system. That was needed to improve passengers' comfort. A five-speed automatic transmission was the only option for the XG350.