*

In talks with GM on EV supplies, joint part purchase and

other

potential deals

*

Sees 2025 revenue growth at 3-4% vs 7.7% in 2024

*

Sees 2025 operating profit margin at 7.0-8.0% vs 8.1% in

2024

(Recasts with talks with GM)

By Hyunjoo Jin

SEOUL, Jan 23 (Reuters) - Hyundai Motor ( HYMTF ) said

on Thursday it is in talks with General Motors ( GM ) to supply

commercial electric vehicles to its U.S. peer, as it expects

sales growth to halve this year due to softening demand.

The South Korean automaker said discussion with GM involves

various areas of cooperation including joint parts purchasing

and a tie-up in passenger vehicles. They aim to sign binding

deals on commercial EV supply and auto part purchases this year,

Hyundai said.

The talks come as global automakers brace for policy

uncertainty in the U.S., the world's second-largest auto market,

that threatens to dampen demand, as U.S. President Donald Trump

said this week he could impose 25% import tariffs on Canada and

Mexico from Feb. 1.

"We expect more business uncertainties this year than

ever before due to potential policy changes not just in the home

market but also in the U.S., while there will be tougher

emission rules in Europe," Hyundai Chief Financial Officer Lee

Seung Jo told analysts.

Hyundai, which together with affiliate Kia is

the world's third-biggest automaker by sales, on Thursday

forecast 2025 revenue would grow 3.0% to 4.0% this year, versus

7.7% a year earlier. It expects its operating margin to be 7.0%

to 8.0%, from 8.1% in 2024.

North America and South Korea are Hyundai and Kia's two

biggest markets.

Hyundai also warned of uncertainties, citing a slowdown in

major markets, slowing demand for electric vehicles and

macroeconomic volatility.

Trump said this week he would consider scrapping tax credits

for purchases of electric vehicles.

Hyundai reported operating profit of 2.8 trillion won ($1.95

billion) for October-December as it spent more on promotions in

a slowing car market.

That was lower than a 3.2 trillion won average of 24 analyst

estimates compiled by LSEG SmartEstimate, which is weighted

toward estimates from the more consistently accurate analysts.

Hyundai shares were flat after the earnings announcement.

During the quarter, Hyundai's global retail sales slipped as

solid sales in the United States and India were offset by

sluggish demand in South Korea, Europe and China.

A weaker local currency against the U.S. dollar helped raise

Hyundai's repatriated earnings but also increased foreign debt

and related financial costs, weighing on profit, analysts said.

($1 = 1,436.4200 won)