View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
July 28, 2020

Hyundai begins acquisition of St Petersburg GM plant

Hyundai Motor has taken an "initial step" to acquire General Motors' plant in St Petersburg, Russia, according to local reports.

By Olly Wehring

Hyundai Motor has taken an “initial step” to acquire General Motors’ plant in St Petersburg, Russia, according to local reports.

The US carmaker completed construction of the US$300m plant in 2008 but halted operations in 2015 after it decided to withdraw from Russia along with numerous other markets worldwide.

Since then GM has held talks with several global vehicle manufacturers interested in buying the plant, including Hyundai around a year ago.

GM also had a 50% stake in a plant in Togliatti, Moscow, which it sold to its local partner AvtoVaz last year. 

Hyundai already has a 240,000 units a year vehicle assembly plant in St Petersburg which makes the Accent based Solaris passenger car, the Creta crossover and Kia light commercials with total output exceeding 91,000 units in the first half of 2020.

Hyundai Motor last week submitted proposal documents to the Russian government as a first step in the acquisition process, according to reports citing a Hyundai spokesman who pointed out “Russia’s anti-trust regulator will decide whether Hyundai will move to the next step after reviewing the documents”.

Topics in this article: , , ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Auto