Hyundai could make buses in China

SEOUL – Hyundai Motor Co. yesterday said it could start producing buses in China as repeated labour disputes hamper output at South Korea’s top automaker.

Last week, Hyundai said it might start making buses abroad after its labour union refused to change its work system to allow night shifts. The automaker said it recently failed to ship about 5 600 buses, with 1 500 of the total earmarked for overseas customers.Hyundai sold 55 493 buses in 2006.”Producing buses in China could be an option,” Hyundai spokesman Jake Jang said by telephone.Hyundai does not have a bus plant in China, so the company is considering sending bus kits and having Chinese companies assemble them, another official said.Hyundai is also discussing a commercial vehicle joint venture with China’s Guangzhou Auto Group.Analysts have said expanding overseas production was critical for Hyundai to reduce the risks from frequent labour disputes and a firmer won In January, unionised workers organised a partial strike and overtime boycott in a bonus dispute that the company says cost it 18 513 vehicles, or US$284,7 million in lost output.Hyundai, the world’s No.6 automaker by sales volume along with affiliate Kia Motors Corp., has factories in the United States, China, India and Turkey.It is now building a sedan factory in the Czech Republic.Nampa-ReutersThe automaker said it recently failed to ship about 5 600 buses, with 1 500 of the total earmarked for overseas customers.Hyundai sold 55 493 buses in 2006.”Producing buses in China could be an option,” Hyundai spokesman Jake Jang said by telephone.Hyundai does not have a bus plant in China, so the company is considering sending bus kits and having Chinese companies assemble them, another official said.Hyundai is also discussing a commercial vehicle joint venture with China’s Guangzhou Auto Group.Analysts have said expanding overseas production was critical for Hyundai to reduce the risks from frequent labour disputes and a firmer won In January, unionised workers organised a partial strike and overtime boycott in a bonus dispute that the company says cost it 18 513 vehicles, or US$284,7 million in lost output.Hyundai, the world’s No.6 automaker by sales volume along with affiliate Kia Motors Corp., has factories in the United States, China, India and Turkey.It is now building a sedan factory in the Czech Republic.Nampa-Reuters