Hyundai Motor’s newest transfer to register a number of logos in Russia is rekindling hypothesis that the carmaker might quickly resume its enterprise there.
Based on studies from Russia’s information company, RIA Novosti, the Korean carmaker has registered logos, comparable to its company emblem, which shall be legitimate by way of 2034. This allows the carmaker to supply and promote numerous cars and auto elements there, in keeping with the report.
The corporate suspended its Russian operations in December 2023, promoting its St. Petersburg manufacturing unit for about $95 (140,000 gained). The deal included a buyback choice, permitting Hyundai to repurchase the plant inside two years of the sale.
At the moment, Hyundai Motor determined to withdraw its Russian enterprise amid the escalating struggle between Russia and Ukraine. The carmaker struggled to safe a steady provide of key auto elements as a result of battle and determined to droop operations on the plant in March 2022.
Hyundai Motor, nonetheless, denied the rumor that the carmaker’s return to Russia appears imminent.
“The registration of logos can’t be seen as a preparatory work for our inroads right into a sure nation, however is a typical course of performed to keep up the agency’s model rights throughout the globe,” a Hyundai Motor official mentioned.
Nonetheless, with the deadline for exercising the buyback choice drawing nearer, it stays to be seen whether or not the carmaker will shift its place on the final minute.
In September, Hyundai Motor CEO Jose Munoz additionally reaffirmed the carmaker’s primary stance that it “doesn’t have any instant plans” to purchase again the manufacturing unit and resume its enterprise in Russia. He mentioned the carmaker left the market, and nothing has modified since then (concerning its technique within the nation).
Regardless of the corporate’s official denial, rumors persist a few doable resumption of its operations in Russia, because the nation was as soon as a significant marketplace for the automaker.
Based on information from the Korea Worldwide Commerce Affiliation, Russia accounted for 25.5 p.c of Korea’s car exports in 2021. Kia and Hyundai Motor ranked second and third, respectively, within the Russian market that yr.
Hyundai Motor entered the Russian market in 2007 and accomplished development of its St. Petersburg manufacturing unit in 2010 to deepen its presence there, however the outbreak of the struggle halted the carmaker’s growth plans.
