Hyundai Motor Group stocks rally as labour risks seen priced in amid robotics push

Hyundai Autoever

13/05/2026 06:20

** Shares in South Korea's Hyundai Motor Group rallied on Wednesday on investor bets that labour-related risks had already been largely priced into auto shares, unlike the chip sector, which is now facing the prospect of major strikes for the first time.

** Shares in Hyundai Motor 005380.KS and Hyundai Mobis 012330.KS rose as much as 9.9% and 23.5%, respectively, to record highs, while Hyundai Autoever 307950.KS gained 17.6% to an all-time high.

** Analysts attributed the rally to expectations that the auto sector could benefit as investors rotate into industries seen as less vulnerable to escalating labour tensions than sectors such as the semiconductor industry.

** "Hyundai Motor Group has long been exposed to production union risks, meaning concerns over potential strikes have already been reflected in a persistent valuation discount for South Korean auto shares and the broader auto sector. By contrast, the chip industry is only now facing the possibility of major labour strikes for the first time," said Shin Yoon-chul, an analyst at Kiwoom Securities.

** Shin added that Hyundai Motor Group has recently begun reducing its exposure to labour-related risks through robotics initiatives and business unit divestments, making auto shares more likely to benefit whenever such concerns resurface.

** Samsung Electronics 005930.KS and its South Korean union on Wednesday failed to reach a pay deal, heightening the risk of a massive strike that could disrupt production of AI and other chips. Shares in Samsung Electronics, which fell as much as 6.1% earlier in the session, reversed course and were trading up 1.3% as of 0505 GMT.

** The broader KOSPI market .KS11 was trading up 2.1% as of 0505 GMT.

 (Reporting by Heekyong Yang
Editing by Ed Davies)

 ((Heekyong.Yang@thomsonreuters.com;))