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Hyundai’s damage from Chinese explosion estimated at $136 million

August 14, 2015
Damaged cars stand in China's northeast port city of Tianjin on Aug. 12, 2015 after suffering a series of huge explosions. While the exact cause of the explosions was not immediately known, South Korea's top carmaker Hyundai Motor is estimated to have lost 160 billion won (US$136 million) from the incident, which will be covered by its insurance. (Yonhap)

Damaged cars stand in China’s northeast port city of Tianjin on Aug. 12, 2015 after suffering a series of huge explosions. While the exact cause of the explosions was not immediately known, South Korea’s top carmaker Hyundai Motor is estimated to have lost 160 billion won (US$136 million) from the incident, which will be covered by its insurance. (Yonhap)

SEOUL, Aug. 14 (Yonhap) — South Korea’s top carmaker Hyundai Motor is estimated to have lost 160 billion won (US$136 million) from huge explosions in China’s northeast port city of Tianjin, industry watchers said Friday.

China Central Television (CCTV) said the blasts involved a shipment of explosives at the Ruihai warehouse in Tianjin, and occurred around 11:30 p.m. on Wednesday. The exact cause was not immediately known.

Hyundai had parked around 4,000 automobiles at the site, including Genesis and Equus luxury sedans.

While Hyundai usually produces automobiles to be sold in China locally, it ships high-end models from South Korea.

“It will take quite a long time to find out the detailed damages (incurred from the explosion),” a Hyundai Motor official said. “All automobiles damaged from the explosion will be covered by our insurance, so there are no significant losses.”

Other carmakers are also estimated to have suffered damages from the explosion, including Germany-based Volkswagen which lost 2,750 automobiles, sources said.