Hyundai Motor Group has stopped operations in its production plants in the United States. It was reported that the reason for the pause was the automotive chip shortage.
The unavoidable factory suspension
The South Korean automaker made the announcement of the temporary pause on Monday, June 14. It was added that its sister company, Kia, will not be affected by the suspension so its production in Georgia will not be interrupted.
"Hyundai Motor will suspend operations of the company's factory in the U.S. state of Alabama for five days from June 14,” the company said in a statement. “The decision will only affect Hyundai Motor's vehicle assembly lines."
As per The Korea Times, while the production in the Hyundai plant in Alabama is on pause, the company will use the time to carry out maintenance works in the facility. The full operation is expected to resume on June 21.
"Yes, we don't have plans to manufacture vehicles at the company's Alabama plant this year,” an official from the company said. “Hyundai Motor will offer support measures to employees who will be affected by the suspension, and we plan to normalize factory operations after the scheduled summer break."
In any case, it was revealed that the assembly of the Sonata and Elantra cars, as well as the Santa Fe SUV, will be affected by the temporary closure of the facility in Alabama. It was mentioned that Hyundai is also expanding the compound and will be spending over $400 million for a plant for the production of Santa Cruz models, a compact pickup truck.
Hyundai to use the break for maintenance
As said earlier, while Hyundai Motor’s facility in Alabama is on break, routine maintenance will be carried out so as not to waste time. Yonhap News Agency reported that the maintenance work will take place from June 16 to July 11.
Finally, Hyundai Motor has been suspending the operations in its production plants in recent months. Last month, it halted the works in its Indian factory in Tamil Nadu but this case is different because the works were suspended due to the workers’ fear of being infected with COVID-19 at the workplace. Then again, the chip shortage remained the biggest issue as to why carmakers are halting their assembly work worldwide.


DeepSeek to Raise AI API Prices as Demand for New Models Surges
Moderna Wins FDA Approval for mFLUSIVA mRNA Flu Vaccine for Adults 50+
Alphabet Stock Slides as Google AI Pioneer Jeff Dean Exits to Launch Discovery Loop
Asian Stocks Slip as AI Rally Fades, Oil Holds Steady on Iran Peace Deal Hopes
Western Digital Q4 Earnings Beat Estimates as FY2027 Outlook Tops Expectations
Trump Urges Exxon, Chevron to Cut Gas Prices After Record Oil Profits
BOJ Minutes Signal More Rate Hikes as Inflation Risks Grow
Heineken H1 Operating Profit Meets Forecast as Beer Volumes Beat Expectations
Asian Stocks Rally as AI Optimism Lifts Tech Shares Across Regional Markets
Gold Price Holds Steady as Fed Rate Outlook and Jobs Data Keep Markets on Edge
Siemens Energy Q3 Profit Beats Forecast as AI-Driven Power Demand Fuels Growth
Brazil Cuts Selic Rate to 14% as Inflation Eases but Risks Persist
US Stock Futures Hold Steady as Iran Hormuz Deal and Earnings Shape Market Sentiment
Japan Economy Minister Downplays Inflation Risks Despite BOJ Warning
SanDisk Q4 Earnings Beat Estimates as Q1 Revenue Outlook Meets Expectations
DBS Raises 2025 Outlook After Record Q2 Profit Driven by Wealth Management 



