Hyundai Motor invests in ride-hailing firm Grabtech news
- Hyundai Motor Co (005380.KS) said on Thursday it had invested in Singapore-based ride-hailing firm Grab, in the South Korean automaker’s first foray into the rapidly growing sector as it tries to diversify following a sales slump in China. Grab has expanded to eight Southeast Asian countries and has said it is the biggest operator in the region’s third-party taxi hailing and private-vehicle hailing sector.
The companies will jointly develop services in Southeast Asia, including one utilizing Hyundai’s eco-friendly models such as the IONIQ Electric, the two firms said in a statement.They did not disclose the value of Hyundai’s investment and a spokeswoman for the automaker declined to comment further. Grab’s latest fundraising round, which Hyundai has joined, already includes investors such as China’s Didi Chuxing, Japan’s SoftBank (9984.T) and Toyota Tsusho (8015.T), the firms added.
Hyundai said on Wednesday it is considering building a car plant in Southeast Asia, possibly in Indonesia or Vietnam.The company’s interest in the region has grown since a diplomatic row between Beijing and Seoul last year hurt South Korean firms that are highly reliant on the Chinese market.
The automaker also announced for the first time a self-driving technology partnership with Silicon Valley start-up Aurora earlier this month, a shift from its usual preference for developing technology itself. NEW YORK (Reuters) - Federal Reserve policymakers reacted coolly to a report on Wednesday that China could curb its massive U.S. debt purchases, pointing out that such rebalancing by countries can be healthy and would not likely disrupt the U.S. central bank’s plan to trim its own bond portfolio. Bloomberg News reported that unnamed Chinese officials have recommended slowing or halting purchases of U.S. Treasury bonds, a move that, depending on its size, could snag China’s efforts to manage its currency and even spark a market selloff that imperils the strongest run of global economic growth in years.
Such a decision by China, the largest foreign holder of U.S. debt at about $1.2 trillion, could pose a tricky decision for the Fed, which is the top holder with some $2.4 trillion. After years of buying assets to prop up the crisis-hit economy, the central bank began gradually shedding them in October and aims to continue doing so over a few years to reset its policy stance.