South Korean media said on Wednesday that Hyundai Motor Co (005380.KS) wants to leave Russia and sell its factories there to a Kazakh company.
South Korean TV station MBC said that talks to sell Hyundai’s factories in Russia are in their final stages and that the carmaker has been waiting for the Russian government’s final approval.
“There are still talks going on about the sale, but nothing has been decided yet,” Hyundai Motor told the TV network.
When Reuters tried to get a comment from Hyundai Motor after normal business hours, they were not available right away.
In March, Hyundai Motor said it was looking at “various options” for its Russian business.
Since Moscow invaded Ukraine last year, many Russian companies have stopped making things and given workers time off because they don’t have enough high-tech equipment because of sanctions and the departure of Western manufacturers.
Last year, Hyundai Motor stopped running its business in Russia.
Hyundai Motor, along with its subsidiary Kia Corp (000270.KS), is one of the 10 biggest automakers in the world based on sales. About 4% of its global production capacity, or about 200,000 cars per year, are made in Russia.
Before the war, Hyundai and its sister brand Kia were two of the three most popular names in Russia. Now that big companies from around the world have left, Chinese names are taking their place in Russia’s war economy.