Reports from South Korean media suggest that Hyundai Motor is planning to exit the Russian market and sell its manufacturing plants to a Kazakh company.
Negotiations regarding the sale of Hyundai’s factories in Russia are reportedly in the final stage, pending approval from the Russian government. Hyundai had suspended its operations in Russia last year, and in March, it announced that it was considering “various options” for its Russian unit.
The automaker, which builds about 200,000 vehicles per year in Russia, representing around 4 percent of its global production capacity, has not made a final decision on the matter.
Many factories in Russia have suspended production due to sanctions and an exodus of Western manufacturers following Moscow’s invasion of Ukraine last year.