Hyundai Motor Co. (005380), South Korea’s largest carmaker, fell to the lowest level in almost eight months in Seoul trading on speculation the company may need to recall some vehicles in the U.S.
The company, based in Seoul, retreated 3.8 percent to 216,000 won at the close of trading on the Korea Exchange, its lowest level since March 12. The benchmark Kospi index slipped 0.7 percent.
“Market rumors that Hyundai may have a big-size recall in the U.S. are driving shares lower,” Lee Sang Hyun, an analyst at NH Investment & Securities Co., said by phone today. Hyundai Motor declined to comment in an e-mail response to questions.
The U.S. National Highway Traffic Safety Administration said in July the South Korean company was recalling some 2007 through 2009 Santa Fe sport-utility vehicles and some 2012 and 2013 model-year Sonata sedans for issues related to airbags.
Hyundai Motor last week reported third-quarter profit that exceeded analysts’ estimates as it benefited from anti-Japan protests in China and the i10 minicar helped the company buck the slump in Europe. Deliveries last month increased 14 percent to 412,189 vehicles from a year earlier, the company said today.
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