Hyundai suspends China plant for a week amid political spat — report

Seoul:

South Korea’s Hyundai Motor has suspended production at one of its Chinese factories for a week, a media report said on Sunday, fuelling concern that a diplomatic standoff may be hurting sales in the automaker’s top market. A Hyundai spokesperson did not have immediate comments, but industry officials and analysts say the suspension may be aimed at bringing down inventories given slowing sales in China, due to political tension and competition from local players. South Korean companies, from cosmetics firms to retailers, say they are being targeted in China because of Beijing’s objections to a planned deployment of the US Terminal High Altitude Area Defence (THAAD) system in South Korea. China worries the system’s powerful radar can penetrate its territory.