Hyundai Motor’s Q3 profit falls 29% as U.S. tariffs hit earnings
South Korea’s Hyundai Motor Co. reported a 29% drop in third-quarter operating profit on Thursday, citing the impact of U.S. tariffs on its vehicle exports.
The automaker posted an operating profit of 2.5 trillion won ($1.76 billion) for the July–September period, down from 3.6 trillion won a year earlier. The figure, however, matched analysts’ expectations, News.Az reports, citing Reuters.
Hyundai said U.S. tariffs cost the company 1.8 trillion won in the third quarter — more than double the 828 billion won loss recorded in the previous quarter. The company’s exports to the U.S., which account for around 40% of total revenue, have been subject to a 25% tariff.
A recent trade agreement between Washington and Seoul, reached on Wednesday, is expected to reduce that rate to 15%, offering some relief to the automaker.
Hyundai shares initially rose following the trade news but later pared gains, closing 2.9% higher.
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