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Hyundai is preparing to walk away from its long association with Australian soccer.Credit:AAP

Sources close to the negotiations suggest Hyundai Australia have informed FFA of their intention not to renew their deal when it expires in just four months.

However,there remains a chance they may extend their sponsorship for one more year until June 2021. FFA are hoping to at least negotiate a short-term agreement that will provide them with enough time to find another major sponsor without copping an immediate and significant hit to their bottom line.

Hyundai Australia remained tight-lipped on the future of their partnership when approached byThe Herald on Monday.

“Conversations are currently ongoing between Hyundai and Football Federation Australia around Hyundai’s naming rights partnership with the game. Currently we are not in a position to go into detail about these discussions but we will be announcing our plans at the appropriate time,"Hyundai's director of marketing,Bill Thomas,said.

After the broadcast deal with Fox Sports,Hyundai's sponsorship is the FFA's most significant corporate partnership. Senior FFA sources informedThe Heraldthe organisation is eager to retain Hyundai as a sponsor and are hopeful of reaching a deal to extend their partnership before June.

“Commercial discussions are ongoing between Hyundai and Football Federation Australia in relation to its whole of game partnership. As these discussion are continuing,FFA is not in a position to provide any specific comment. FFA greatly appreciates its partnership with Hyundai which has spanned over 15 years,"an FFA spokesman said.

Clubs have already been briefed about the possibility of a future without Hyundai. Last week,FFA told A-League clubs to refrain from including Hyundai's logo on jersey designs for next year due to the uncertainty over the sponsorship deal beyond June.

Declining public interest in the A-League and poor financial results in the motor vehicle industry are the main factors influencing Hyundai's likely exit from Australian football.

Their sponsorship with FFA has primarily been associated with the A-League,with Hyundai having been the naming rights partner of the competition since its inception in 2005,while the company also contributes close to $1 million towards FFA's national teams each year.

The value of Hyundai's sponsorship of the A-League has risen to about $5 million per annum which also includes the provision of four cars to each club in the competition.

As revealed byThe Sydney Morning Herald andThe Age in January last year,Hyundai were unhappy with the poor publicity surrounding FFA's sacking of former Matildas coach,Alen Stajcic. Hyundai weren't happy with the handling of the incident by FFA's former management which occurred as they released a significant football advertisement campaign.

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