Hyundai cars ready for shipment are parked at a port in the southern Indian city of Chennai October 1, 2013. A surprise increase in interest rates and rising car prices in September have tempered hopes for a turnaround in India's struggling autos sector, with some analysts pushing back forecasts for a sustained recovery to next financial year. Car sales in India have fallen nearly 6 percent so far in the current financial year to August, according to the Society of Indian Automobile Manufacturers, as high ownership costs in a slowing economy have prompted consumers to postpone purchases.

Anti-Korean sentiment in China is hurting Hyundai and Kia

64%

Geopolitics have taken a toll on Hyundai sales, which dropped 64% in China last month. Its Kia division suffered a 58% decline.

Published   |  Photo by Reuters/Babu
Hyundai cars ready for shipment are parked at a port in the southern Indian city of Chennai October 1, 2013. A surprise increase in interest rates and rising car prices in September have tempered hopes for a turnaround in India's struggling autos sector, with some analysts pushing back forecasts for a sustained recovery to next financial year. Car sales in India have fallen nearly 6 percent so far in the current financial year to August, according to the Society of Indian Automobile Manufacturers, as high ownership costs in a slowing economy have prompted consumers to postpone purchases.
64%

The Korean automakers are struggling to compete with cheaper Chinese competitors, but are also suffering from a surge in anti-Korean sentiment in China.

Hyundai cars ready for shipment are parked at a port in the southern Indian city of Chennai October 1, 2013. A surprise increase in interest rates and rising car prices in September have tempered hopes for a turnaround in India's struggling autos sector, with some analysts pushing back forecasts for a sustained recovery to next financial year. Car sales in India have fallen nearly 6 percent so far in the current financial year to August, according to the Society of Indian Automobile Manufacturers, as high ownership costs in a slowing economy have prompted consumers to postpone purchases.
64%

Earlier this year, South Korea began deploying an American anti-missile system, meant to protect the country against North Korea.

Hyundai cars ready for shipment are parked at a port in the southern Indian city of Chennai October 1, 2013. A surprise increase in interest rates and rising car prices in September have tempered hopes for a turnaround in India's struggling autos sector, with some analysts pushing back forecasts for a sustained recovery to next financial year. Car sales in India have fallen nearly 6 percent so far in the current financial year to August, according to the Society of Indian Automobile Manufacturers, as high ownership costs in a slowing economy have prompted consumers to postpone purchases.
64%

But China objected strenuously, arguing that it could tilt the balance of power in East Asia.

Hyundai cars ready for shipment are parked at a port in the southern Indian city of Chennai October 1, 2013. A surprise increase in interest rates and rising car prices in September have tempered hopes for a turnaround in India's struggling autos sector, with some analysts pushing back forecasts for a sustained recovery to next financial year. Car sales in India have fallen nearly 6 percent so far in the current financial year to August, according to the Society of Indian Automobile Manufacturers, as high ownership costs in a slowing economy have prompted consumers to postpone purchases.
64%

China countered with a propaganda campaign against South Korea, forbidding tourists from visiting the country and attacking South Korean companies.

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