Seoul: South Korea’s top carmaker Hyundai Motor said on 12 October it is considering building a car plant in Russia to meet rising demand there, which could reportedly cost $400 million (Rs1,573 crore).
“We are considering building a plant in Russia, where demand has been growing. But no decision has been made yet,” a Hyundai Motor spokesman said.
The Russian plant would be Hyundai’s sixth overseas. The world’s sixth largest automaker also has plants in the United States, China, India and Turkey. A fifth is under construction in the Czech Republic.
The Maeil Business newspaper said Hyundai Motor had already made a decision to build the plant with a capacity of 100,000 vehicles a year for $400 million. Construction in Saint Petersburg could begin early next year.
Hyundai is aiming to become the world’s number five carmaker but growth has been threatened by competition, falling productivity and labour disputes.