MOSCOW: Russia’s Anti-Monopoly Service said on Monday it had accredited Hyundai’s potential acquisition of a General Motors manufacturing unit in St Petersburg, the Interfax news agency reported.
Hyundai’s Russian unit confirmed last month it was discussing the acquisition of the manufacturing unit, however declined to offer additional details.
Russia’s auto market has come under pressure from the coronavirus disaster, which precipitated new automotive gross sales to plunge earlier this year.
The GM manufacturing unit in Shushary in St Petersburg’s suburbs can manufacture as much as 100,000 vehicles a year.
It was constructed in 2008 however closed in 2015 as half of GM’s choice to scale back its worldwide operations.
Hyundai and associate Kia aly have a manufacturing unit in Russia with a producing capability of greater than 200,000 automobiles per year.
The two carmakers offered greater than 400,000 automobiles in Russia last year, greater than Russian auto big Avtovaz.
Auto Sales Analysis: Domestic gross sales enhance; client sentiments optimistic