SEOUL, June 1 (Korea Bizwire) — Hyundai Motor Group said Thursday it has completed its first overseas hydrogen fuel-cell systems plant in China in a move to make inroads into the local hydrogen vehicle market.
In March 2021, Hyundai Motor began construction of the HTWO Guangzhou hydrogen fuel-cell systems plant with an annual capacity of 6,500 units.
The South Korean automotive group aims to secure a leading status in China’s hydrogen fuel-cell and hydrogen-powered vehicle markets based on the HTWO plant, the company said in a statement.
“Hyundai Motor Group will strengthen its strategic partnership with Chinese companies to contribute to China’s central and Guangdong provincial governments’ hydrogen projects and carbon neutrality plans,” Hyundai Motor President and Chief Executive Officer Chang Jae-hoon said in the statement.
In the completion ceremony, the group signed a memorandum of understanding with state-run companies in Guangzhou, Guangdong Province, to provide 1,500 hydrogen fuel-cell electric commercial vehicles by 2024, the statement said.
The HTWO Guangzhou plant is wholly owned by the Korean automotive group.
Hyundai expects demand for hydrogen fuel-cell systems to grow further in China, the world’s biggest automobile market, as the Chinese government seeks to provide 1 million hydrogen-powered vehicles by 2035.
In its broad hydrogen road map, Hyundai aims to produce 500,000 hydrogen vehicles and 700,000 hydrogen fuel-cell systems by 2030 to cement its leading status in global hydrogen vehicle markets.
Hyundai currently operates a domestic hydrogen fuel-cell systems plant. It also plans to build such plants in Europe and the United States.