Hyundai reviewing Russia plant after reports of Kazakhstan sale

The South Korean automaker is considering “several options” for its St Petersburg plant.

Hyundai Motor says it is considering “several options” for its suspended plant in Russia, following a report that the South Korean automaker is discussing selling the plant to a Kazakhstani company.

Hyundai, South Korea’s third-largest conglomerate, said on Friday it had not yet made a decision on the future of its St. Petersburg plant after a news report said negotiations to sell the plant were in the final stages.

The company added that it would make an announcement as soon as the case was decided, or no later than a month.

The South Korean news agency Yonhap reported Thursday that the local government in St. Petersburg was negotiating to sell the plant to an auto-related company in Astana, Kazakhstan.

Hyundai Motor ceased operations at its Russian plant in March 2022, shortly after Russia invaded Ukraine, joining numerous brands that have ceased operations or left the country.

Before the invasion, Hyundai made about 200,000 vehicles in Russia every year.

Before the war, Hyundai and sister brand Kia controlled more than a quarter of the Russian car market and were second only to the French Renault.

The company said in registration files that it had not sold any cars in Russia in August and September.