South Korea's auto production sinks to 17-year low of 3.46m

Hyundai pledges domestic expansion while smaller rivals seek rebound

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Hyudai's vehicles are assembled at a plant in South Korea. (Photo by Kotaro Hosokawa)

KOTARO HOSOKAWA, Nikkei staff writer

SEOUL -- Automobile production in South Korea has retreated to the lowest in nearly two decades, on the struggles of smaller carmakers and the offshoring of capacity by the dominant Hyundai Motor group.

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