Hyundai Motor Co., South Korea's top automaker, is planning to increase euro transactions as its profitability deteriorated on the South Korean currency's sharp rise against the U.S. dollar, the carmaker said Friday.
"To efficiently cope with currency risk, Hyundai Motor plans to conduct more of its transactions in euros," the automaker said in a statement, without specifying the amount of the increase.
The plan was announced at a meeting with heads of Hyundai Motor's overseas units in Seoul earlier in the day, according to the statement.
The won's rise against the U.S. dollar undermines Hyundai Motor's profits when the company converts profits into the local currency.
To hang onto its already slim profit margins, Hyundai Motor said it will also focus on selling high-margin vehicles as Sonata sedans and Santa Fe sport-utility vehicles.
So far this year, the won has gained more than 9 percent against the dollar. Early this month, the won hit a nine-year high against the dollar, with 915 won equal to US$1.
Seoul, Dec. 15 (Yonhap News)
Hyundai Motor plans to increase euro transactions on U.S. currency's fall |
