Hyundai Manufacturing in Montgomery, AL

Korean automaker Hyundai plans to expand its auto assembly plant in Montgomery,Reuters reports.

The news agency cites unnamed sources in reporting the move, which is being prompted by a desire to increase SUV production as sedan sales slow.

A Hyundai spokesman told Reuters there were "no plans at this stage" to increase the company's U.S. capacity. Read the full report.

There has long been talk of Hyundai expanding its Alabama plant or building a new plant elsewhere in the U.S.

The automaker currently produces the Sonata sedan and Elantra compact, its top U.S. sellers, in Montgomery. Meanwhile, the Hyundai Santa Fe SUV is built at a factory in West Point, Ga., operated by its affiliate, Kia.

In 2013, a report from South Korea said the governors of both Alabama and Georgia were courting Hyundai officials in a bid for a new U.S. manufacturing plant.

The latest news was initially reported by South Korea's Yonhap News Agency, which said the new plant in Alabama would have an annual capacity of 300,000 vehicles and start SUV production in 2017.

Full Article: http://www.al.com/business/index.ssf/2015/03/hyundai_to_expand_its_alabama.html