Hyundai’s Montgomery Plant Faces Lowest Export Numbers Since Pandemic
Montgomery, AL – Hyundai’s production facility in Montgomery has registered a dismal 14 vehicles produced for export this month, marking the lowest output since the onset of the COVID-19 pandemic. According to a report from South Korea’s Yonhap news agency, this decline is largely attributed to the company’s shift in focus towards U.S. sales, especially following the imposition of a 25% tariff on all vehicles imported into the United States under the Trump Administration.
Although Hyundai continues to maintain steady production for its domestic market, with 155,800 vehicles manufactured across six models between January and May, the export figures highlight a significant downturn. Monthly outputs varied from 27,500 in January to 32,400 in May, yet the exports tell a different story. For instance, production for the Tuscon SUV saw a drastic drop from 2,490 units for Canada in March to only 105 by May. Similarly, output of the Santa Fe SUV for Canada fell from 1,356 in April to just 28 units in May.
Last year, Hyundai’s Alabama plant exported 22,600 vehicles, but May’s totals saw a staggering 45% decrease, producing only 1,303 exported units, down from 2,386 in the same month last year. The impact of tariffs has been felt across the board, as Hyundai has had to reallocate production strategies. In April, for example, the company shifted some Tucson SUV production from Kia’s Mexico facility to Montgomery, while reports indicate that Canada-bound vehicles are now being produced in Mexico instead of the U.S.
As the automotive industry grapples with ongoing trade complexities, Hyundai’s Montgomery plant encapsulates the challenges faced by manufacturers navigating tariff-induced market shifts.
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