Hyundai delays plans for diesel engine plant

Low sales due to high interest rates and rising raw material costs have led Hyundai Motor Company, India’s second largest car maker, to put on hold its plans to build a diesel engine manufacturing plant. In October, Hyundai’s sales went down by 5.31% compared to the same month last year. But company sources said the project will be shelved only for at least six months and that Hyundai has already invested US$2 billion in India, so it will stay committed to the Indian market. (November 11, 2011)