Ssangyong Motor posts Q3 loss on weak sales

Ssangyong Motor Corp., the South Korean unit of China's Shanghai Automotive Industry Corp., said Wednesday that it had suffered a loss in the third quarter as rising fuel costs and an economic slump reduced domestic sales.

The automaker posted a loss of 28.2 billion won (US$20 million) in the July-September period, compared with a profit of 1.2 billion a year earlier, the company said in a statement.

Sales dropped 8.2 per cent to 684 billion won over the cited period, and its operating loss reached 48.3 billion won, according to the automaker.

South Korea's smallest automaker has been hit hard since early in the year by high oil prices because its line-up is dominated by fuel-guzzling sport-utility vehicles and large-size sedans.