Hyundai Motor stated it is thinking about constructing an automobile plant in Southeast Asia with Indonesia and Vietnam possible places – part of efforts to diversify after a sales downturn in China.
The automaker does not have an automobile manufacturing factory in Southeast Asia, although it has some pure assembly operations in Indonesia and Vietnam where vehicles are made from “knock-down” kits consisted of major part groups.
A diplomatic row between Beijing and Seoul in 2017 concerning the South Korea’s planned deployment of U.S. anti-missile defense system THAAD has harmed Hyundai and other South Korean companies that are highly dependent on the Chinese market.
Hyundai anticipates its China sales to reach about 900,000 vehicles this year, a healing from levels last year, vice chairman and heir apparent Chung Eui-sun likewise stated on the sidelines of the consumer electronics show in Las Vegas, as per a company spokeswoman.
Hyundai has not revealed estimates for 2017 China sales however sales of 900,000 would still be much below its production capacity of 1.65 million automobiles in its greatest market. Chung added that Hyundai is preparing to enter China’s fuel cell electric vehicle market, after the automaker revealed its new fuel cell electric automobile, NEXO, with an estimated driving series of 370 miles, at the event.
