South Korea's Hyundai Motor is set to sell its manufacturing plant in Russia following layoffs due to a lack of high-tech equipment.
The absence of this equipment occurred as a result of the blockade of Western manufacturers when Moscow sent armed forces to Ukraine on February 24.
Explained, Hyundai Motor has sent last year's expense analysis report to Russia due to the difficult operating environment.
As such, the company will stop selling its cars in Russia in August and September immediately after suspending factory operations in March.
However, Hyundai must make various preparations if it still wants to close its business in Russia, one of which is the financial situation and its relationship with Russia and the United States, commented a Korean Investment & Securities analyst Kim Jin-woo.
On record, Hyundai Motor and Kia Corp are among the world's 10 largest automakers that have built 200,000 vehicles in Russia every year.
According to Esther Yim, an analyst at Samsung Securities, the company has made a profit of 450 billion won ($315 million) this year due to the business environment in Russia.
In different news, Nissan Motor Co Ltd not only handed over its business in Russia to a state-owned entity for 1 euro with the company taking a loss of $687 million.
