Hyundai Motor Group chairman Euisun Chung has announced to invest an additional US$5 billion in the US by 2025.
The announcment came during US president Joe Biden's visit to Seoul.
The funding would be spent on robotics, urban air mobility (UAM), autonomous driving, and artificial intelligence (AI) technology, the group said. On top of the US$5.54 billion announced earlier for building an electric vehicle (EV) plant in Georgia, the group's investment in the country will reach US$10.54 billion, according to Korean media ET News.
Hyundai has been devoted to robotics and UAM years ago, but it is expected to invest in American firms with related technologies, instead of building a plant like it does with EV, industry observers said.
To make UAM bodies and obtain government permits, it will have to work with American aviation parts suppliers, while AI development is booming in every area. The group will expand cooperation with American firms and recruit local talent.
In April 2021, Hyundai announced its plan to invest US$300 million to install EV production lines at its assembly and manufacturing factory in Alabama.
The group aims to produce 3.23 million EVs globally by 2030 and obtain a 12% market share. While 1.44 million units will be made in South Korea, a large part of the goal is expected to materialize in the US.
In terms of 2021 sales, the US is the third EV supplier (506,000 units), after China (2.7 million units) and Europe (1.2 million units). The Biden administration in 2021 announced the goal to make 50% of newly sold cars electric by 2030.
Hyundai Motor Group's EV factory investment plan | |
Key fact | Brief |
Location | Georgia |
Time frame | 1H23~1H25 |
Funding | US$5.54 billion |
Target | EV, battery production |
Annual output | 300,000 units |
Job opportunities | about 8,100 openings |
2030 sales goal | 3.23 million units annually |
Source: Company, compiled by DIGITIMES, May 2022
