Hyundai Motor Halts Alabama Plant Operations Due to Confirmed COVID-19 Case... North America Sales Expected to Drop 10-20% (Comprehensive)
[Asia Economy Reporter Kiho Sung] Hyundai Motor's Alabama plant in the United States has halted operations due to a confirmed case of COVID-19. Hyundai expects sales in the North American market, its largest export market, to decrease by about 10-20% due to the impact of COVID-19.
According to Hyundai on the 19th, an employee at the Alabama plant tested positive for COVID-19, leading to a suspension of operations from 10:30 a.m. local time on the 18th.
This plant produces the Sonata, Elantra (Avante), and Santa Fe locally in the U.S. Currently, comprehensive disinfection has been carried out at the Alabama plant. Hyundai plans to take additional measures in consultation with the Alabama Department of Public Health (ADPH) and the Centers for Disease Control and Prevention (CDC). The date for resuming plant operations has not yet been decided.
In this regard, Jose Munoz, Hyundai Motor's Global Chief Operating Officer (COO) and President of the North America Division, said in an interview with a U.S. automotive media outlet on the 17th, "It is still difficult to make a definitive statement, but if the current situation continues, annual sales could be affected by 10 to 20%."
Munoz added, "Some dealers have already closed due to government policies, causing disruptions in sales," and said, "Everyone will be affected to some extent this weekend."
He stated that the worst-case scenario assumes the COVID-19 impact will last until July or August. He also expressed hope that the situation in Europe and the U.S. will calm down to some extent, as it has in Asian countries.
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Meanwhile, Hyundai's plants in the Czech Republic and Slovakia are operating normally.
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