Hyundai Motor Group announces $21 billion investment in the US

Washington, DC – In a significant move to bolster its presence in the United States, South Korean car making giant Hyundai Motor Group has unveiled a $21 billion investment plan. This ambitious initiative, set to unfold between 2025 and 2028, aims to expand Hyundai’s production capabilities, advance future technologies, and enhance energy infrastructure across the country.

The investment will be allocated across several key areas. Hyundai plans to invest $9 billion to increase its annual production capacity in the US to 1.2 million vehicles, encompassing its Hyundai, Kia, and Genesis brands. This expansion will reinforce existing facilities, including Hyundai Motor Manufacturing Alabama and Kia Autoland Georgia, ensuring the delivery of high-quality automobiles to American consumers.

Additionally, $6 billion will be dedicated to localizing automotive components, such as electric vehicle (EV) battery packs, and developing an auto cluster to strengthen supply chains. Hyundai Steel, the company’s manufacturing affiliate, will construct an electric arc furnace steel mill in Louisiana, focusing on producing low-carbon steel sheets.

Another $6 billion will be invested in driving innovation and fostering partnerships with US companies in areas like autonomous driving, robotics, artificial intelligence (AI), and advanced air mobility (AAM). Collaborations with Boston Dynamics and NVIDIA will play a crucial role in expanding the US robotics ecosystem and accelerating AI development for future mobility solutions.

Hyundai’s investment is expected to generate 14,000 direct full-time jobs and over 100,000 direct and indirect jobs by 2028. This commitment underscores Hyundai’s strategic focus on deepening its partnership with the United States and contributing to the country’s industrial leadership.

The announcement comes amid a backdrop of increased protectionist trade policies, with new tariffs on imports set to be imposed by the US government. Hyundai’s substantial investment is seen as a proactive step to align with these policies and strengthen its foothold in the American market.

Overall, Hyundai Motor Group’s $21 billion investment marks a significant milestone in the company’s journey to advance automotive innovation and sustainability while fostering economic growth in the United States.