Officials of Hyundai Kia, Hyundai Motor Co.'s parts maker, attend a groundbreaking ceremony for a new engine factory in Saint Petersburg, Russia, on July 1, 2020. (Hyundai Motor Group)
Hyundai Motor Co. said Wednesday it has acquired General Motors Co.'s auto plant in Russia to step up its vehicle production in the nation.
The South Korean automaker finalized the deal in early November to buy the American carmaker's assembly line in Saint Petersburg, a company spokesperson said, without elaborating on the amount and production schedule at the plant.The GM plant, which has an annual production capacity of around 100,000 vehicles, opened in 2008 but suspended operations in 2015 due to a local economic slowdown.
The former GM site will be Hyundai's second assembly plant in St. Petersburg.
Hyundai has been operating a 230,000-unit-a-year plant in St. Petersburg since 2011 to produce localized models, including the Hyundai Solaris compact, the Hyundai Creta compact SUV and the Kia Rio subcompact.
Hyundai produces Kia Motors Corp.'s vehicles as the smaller affiliate does not have a plant in Russia.
Hyundai and Kia sold 404,710 vehicles in Russia last year, making it the best-selling automaker in the country. (Yonhap)