Maeil Business Newspaper Reports that Hyundai Motor may cut SantaFe Exports

SEOUL, May 14 Hyundai Motors, may cut exports of its popular Santa Fe sport utility vehicles to meet a backlog in domestic orders before emissions laws are strengthened, a newspaper reported on Tuesday.

Citing unnamed Hyundai Motor officials, the Maeil Business Newspaper reported that the automaker, facing strengthened emission regulations, could divert a larger portion of its output to meet domestic orders before the law is revised on July 1.

Earlier this month, Hyundai posted a record quarterly net profit, with robust sales of its SUVs and luxury models helping to shake off its reputation for building cheap compacts.

Following the tighter regulations, Hyundai and affiliate Kia Motors Corp , may be unable to sell diesel versions of the Santa Fe, as well as the Trajet and Carens minivans, the newspaper said.

"Currently, we have 22,000 in domestic orders of Santa Fe," the newspaper quoted an unnamed Hyundai official as saying.

"We have been receiving orders from customers after warning them of the possibility of cancellations due to the emission regulation," he said.

U.S.-German automaker DaimlerChrysler AG owns ten percent of Hyundai.