noyb Files GDPR Complaints Against TikTok, Grindr, and AppsFlyer Over Alleged Illegal Data Tracking. 
United Airlines Tokyo-Bound Flight Returns to Dulles After Engine Failure 
EU Signals Major Shift on 2035 Combustion Engine Ban Amid Auto Industry Pressure 
Sanofi’s Efdoralprin Alfa Gains EMA Orphan Status for Rare Lung Disease 
MetaX IPO Soars as China’s AI Chip Stocks Ignite Investor Frenzy 
SpaceX Begins IPO Preparations as Wall Street Banks Line Up for Advisory Roles 
Treasury Wine Estates Shares Plunge on Earnings Warning Amid U.S. and China Weakness 
Nvidia Weighs Expanding H200 AI Chip Production as China Demand Surges 
Strategy Retains Nasdaq 100 Spot Amid Growing Scrutiny of Bitcoin Treasury Model 
Korea Zinc to Build $7.4 Billion Critical Minerals Refinery in Tennessee With U.S. Government Backing 
Woolworths Faces Fresh Class Action Over Alleged Underpayments, Shares Slide 
Biren Technology Targets Hong Kong IPO to Raise $300 Million Amid China’s AI Chip Push 
FDA Says No Black Box Warning Planned for COVID-19 Vaccines Despite Safety Debate 
Shell M&A Chief Exits After BP Takeover Proposal Rejected 
Robinhood Expands Sports Event Contracts With Player Performance Wagers 
Apple Explores India for iPhone Chip Assembly as Manufacturing Push Accelerates 
Hyundai Motor Company has sold off its production plant in China. The South Korean automaker put its Chongqing factory up for sale for ₩300 billion or around $225 million.
As per Bloomberg, Hyundai Motor sold the facility for less than half the price it initially sought when it was filed for sale in August of last year. It was listed for ¥3.68 billion at that time, but the price was reduced to ¥2.58 billion just two months later.
The buyer was revealed to be the Chongqing Liangjiang District Yufu Industrial Park Construction Investment Ltd., which the region's government funds back. The company shared that the sale was finalized in the last quarter of 2023.
Strategic Sale Decision
Hyundai Motor said this week that it unloaded its China plant as part of its efforts to improve its operations in the country. This move is hoped to help the company boost its efficiency amid declining sales.
Hyundai and its Kia Motors subsidiary are reportedly uncertain about operating in the Chinese market; thus, they are left with tough decisions. Their sales are low in the country even though China is currently the largest auto market in the world. The earnings here only account for five percent of their total sales.
"Hyundai Motor is actively working on various initiatives to enhance our business structure and profitability in China, and the sale of the factory aligns with those efforts," The Korea Times quoted a Hyundai Motor official saying in a statement.
Hyundai's Entry in the Chinese Market
Hyundai Motor arrived and first established its business in China in 2002. Its sales in the country reached the highest record in 2016 when it sold over 1.13 million vehicles. However, the numbers declined due to crumbling relations between the Korean and Chinese governments. The unexpected COVID-19 pandemic caused sales to plummet even more.
The company set up five plants, and with the recent sale of its Chongqing factory, it now operates just three facilities. Hyundai Motor has designated its last three factories in China as bases for its vehicle exports to the Southeast Asian market.
Photo by: Hoyoun Lee/Unsplash
