Hyundai sets aside 55.7 billion won to support dealershipsHyundai Motor Group will set aside 55.7 billion won ($46 million) this year to support dealerships struggling due to the Covid-19 pandemic, the company said Monday.
Hyundai and sister company Kia’s sales between January and May fell 22 percent on year.
The 1,860-or-so Hyundai Motor, Kia Motors and auto parts maker Hyundai Mobis dealerships will be eligible for support. The 55.7 billion won budget is 70 percent larger than what was offered to stores last year, Hyundai said.
Among that, 40 billion won will be earmarked to help with interest payments where dealerships have taken loans. Another 12.1 billion won will be spent to help with rent payments, while 3.6 billion won will be used to help old dealerships upgrade their brick-and-mortar stores.
The group explained that the decision to increase support was made because Covid-19 and the resulting push to minimize human contact has dealt a massive blow to its dealerships.
“We’ll continue to communicate with our dealerships to overcome the ongoing crisis and prepare for the post-coronavirus era,” said Hyundai Motor Group.
By Song Kyoung-son [email@example.com]