Hyundai Motor announces that exports to Europe and North Africa are affected by the conflict in the Middle East. Logistics costs are rising, and deliveries are facing delays.

The South Korean automaker Hyundai Motor has warned that exports to Europe and North Africa, which usually transit through the Middle East, are affected by the conflict in the region. These disruptions block essential maritime routes, increasing logistics costs and delaying deliveries, putting pressure on the company and its suppliers. Kim Dong-jo, senior vice president of Hyundai, stated that the effects of the conflict will continue even after the end of the war with Iran, emphasizing that restoring supply chains will take time. During a meeting at the Pyeongtaek-Dangjin port, government officials and automakers assessed the impact of the war, noting that rising logistics costs and difficulties in sourcing raw materials are affecting production. Hyundai Glovis, the group's logistics division, announced that it can no longer use some routes from the Middle East, being forced to temporarily store goods. Although routes to the North American coasts have not been significantly affected, limited access to the Middle East and higher fuel costs reduce operational efficiency. South Korea's exports increased in March, but deliveries to the Middle East fell by 49%. Hyundai sold 358,759 vehicles globally in March, down 2.3% compared to last year.