Hyundai Motor Group has announced a sweeping $21 billion investment plan aimed at significantly enhancing its footprint in the U.S. over the next three years. The multibillion-dollar strategy includes plans to increase stateside vehicle production, reinforce local supply chains, and advance the emerging technology development, all while creating thousands of American jobs. GM and Hyundai are reportedly in talks to share midsize pickup models and EV vans in the North American market.
Breaking down the $21 billion investment, $9 billion will go toward expanding the South Korean automaker’s vehicle production capacity in the U.S., with a target of to 1.2 million units annually. This move will affect each of the automaker’s brands, including Hyundai, Kia, and Genesis, and will modernize existing plants in Alabama and Georgia.
Hyundai also plans to invest $6 billion to enhance its U.S. supply chain, with a sharp focus on EV-related components like battery packs. This also includes the construction of a new Electric Arc Furnace steel mill in Louisiana under Hyundai Steel. The new facility will produce low-carbon steel using recycled materials, reducing dependence on international supply lines and enhancing overall sustainability.
Another $6 billion will fuel the company’s ambitions in technology development, including the fields of autonomous driving, robotics, artificial intelligence, and advanced air mobility (AAM). Highlights include a robotics expansion via Boston Dynamics, AI and self-driving partnerships with NVIDIA, the development of flying vehicles through Supernal, collaboration with Waymo and Aptiv on robotaxis, and other investments in various U.S.-based startups.
Clean energy is also a major part of Hyundai’s agenda. The company is working with Holtec International on small modular nuclear reactors and aims to expand renewable infrastructure and EV charging networks, including through the IONNA alliance.
The company expects its new U.S. investment to directly create 14,000 full-time jobs and more than 100,000 jobs across the broader automotive and tech ecosystem by 2028.
As covered previously, GM and Hyundai are reportedly aiming to finalize a deal covering new vehicle sharing for the North American market, with GM supplying the South Korean with its midsize pickups (Chevy Colorado, GMC Canyon), and Hyundai providing all-electric commercial vans that could replace the Chevy Express and GMC Savana. The discussions also reportedly cover automotive chip production and next-gen EV tech.
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And the Chevy Brightdrop vans?
Sounds like another screwdriver plant.
It wasn’t too long ago that Hyundai was a cheap car company. I recall reading (I think it was around 12-15 years ago so the details are a bit fuzzy) about Hyundai’s CEO complaining, asking why VW could get away with charging a premium for their vehicles but Hyundai could not. The unspoken answer was that their vehicles didn’t have the reputation to justify the premium. But it looks like they made the right moves since then, keeping costs low and steadily adding the latest features.
Soon they’ll be running in NASCAR.
Toyota does, why not Hyundai?
…they were going to restore an old train station, but that’s been done.