On Wednesday, more auto manufacturers reported on the profits or were involved in important news as follows:
Japan's Toyota Motor Corp (T: 7203) is recalling about 5.8 million cars worldwide due to problems with the airbags from Takata Corp.
As stated in the announcement of the company, the recall campaign covers the cars produced in the period from May 2000 to November 2001, and from April 2006 to December 2014, including the Yaris and Corolla models, the latter being one of the best selling models in the world.
The net profit of Hyundai Motor Co. in the third quarter of 2016 decreased by 7%, to 1.12 trillion won ($ 988 million), compared with 1.21 trillion won in the same period a year earlier, according to a press release of the largest automaker in South Korea. The experts anticipated a slight increase of this indicator - to 1.22 trillion won, writes The Wall Street Journal.
The company's profit drops for the eleventh consecutive quarter due to strikes and a reduction in the demand for cars.
The financial result was the lowest since the first quarter of 2010.
The revenue in the last quarter fell 6%, to 22.1 trillion won, while the operating profit fell 29%, to 1.07 trillion won.
Hyundai Managers warned about the deterioration of business conditions in recent months amid increasing global uncertainty.
In September, Hyundai workers held their first full-scale strike in 12 years after a series of partial suspensions of operations in July and August. As a result of disruptions, the company produced 140 000 fewer cars than planned, which is a loss of 3 trillion won in revenue.
At the same time, the strengthening of the Korean won worsened performance of the company abroad. During the 12 months ended in September, the won has increased by more than 7% against the US dollar.
The District Court in San Francisco on Tuesday approved the total payment by the German carmaker Volkswagen AG (VW), in connection with the diesel scandal, in the amount of $ 14.7 billion, writes The Wall Street Journal. The amount of compensation is the largest one in the US history, considering the automakers apart.