LG Electronics shares drop on news of Apple Car debut delay

Apple Car concept [Photo provided by LG Electronics]

LG Electronics Inc. shares plunged more than 6 percent on Wednesday on news that Apple has postponed the debut of its planned autonomous electric vehicle. LG Electronics has been mentioned as one of the strong candidates that could participate in project.

LG Electronics shares dropped 6.7 percent to trade at 90,800 won ($65.05) as of 1:59 p.m. on Wednesday.

Earlier, Bloomberg News reported that Apple scaled back plans for its future self-driving electric vehicle and postponed the car’s target launch date by about a year to 2026, citing people with knowledge of the matter.

LG Magna e-Powertrain, a joint venture between LG Electronics and Canadian company Magna International, has been widely rumored to be part of the Apple Car project.

During a recent automotive association event, Magna International Chief Executive Officer Swamy Kotagiri said that his company is ready to produce Apple’s electric vehicles. He also visited LG Magna’s Incheon headquarters in Korea in May and discussed future business strategy and collaboration with LG Magna CEO Jeong Won-seok.