This photo taken June 20, 2023, and provided by Hyundai Motor Co. shows the company’s President and CEO Chang Jae-hoon briefing on its mid- to long-term electrification strategy named Hyundai Motor Way during the 2023 CEO Investor Day held at Conrad Seoul hotel in Yeouido, Seoul.
SEOUL, June 20 (Korea Bizwire) — South Korea’s Hyundai Motor Co. said Tuesday it will invest 109.4 trillion won (US$85.4 billion) by 2032 to secure a leading position in the global future mobility market, while aiming to sell 2 million all-electric models by 2030.
Hyundai Motor’s investment plans and EV sales target are up from 95.5 trillion won and 1.87 million units, respectively, announced in March last year.
Of the planned investments, Hyundai will spend 35.8 trillion won in electrification that includes battery development, with the remainder to be injected into the development of a next-generation modular architecture for electric vehicles (EVs) and the expansion of EV production capacity, Hyundai Motor President and Chief Executive Chang Jae-hoon said in this year’s CEO Investor Day briefing.
Under Hyundai’s mid- to long-term business strategy named Hyundai Motor Way, the company plans to develop an Integrated Modular Architecture (IMA) and the second-generation dedicated EV platform which will replace Hyundai Motor Group’s existing Electric-Global Modular Platform (E-GMP), he said.
With IMA, the company expects to standardize modules and parts between the models to further expand economies of scale and significantly reduce EV development costs.
The next-generation EV platform will be used on 13 new EV models to be launched by Hyundai Motor, its independent Genesis brand, and Hyundai’s smaller affiliate Kia Corp. through 2030, the company said in a statement.
Hyundai’s IONIQ 5 and IONIQ 6 are built on the E-GMP platform, with the same platform-based IONIQ 7 set to be released next year. Genesis’s GV60 SUV, and Kia’s EV6 and EV9 SUVs also share the E-GMP platform.
In July, Hyundai plans to unveil its first high-performance EV model IONIQ 5 N in the domestic market to strengthen its EV lineup.
This file photo offered by Hyundai Motor Co. shows the IONIQ 5 all-electric model equipped with Hyundai Motor Group’s dedicated EV platform named E-GMP.
To effectively respond to growing EV demand, Hyundai said it is not only building new factories dedicated to EVs but also utilizing its existing internal combustion engine plants.
The company is currently producing EVs this way at its plants in the United States, South Korea, the Czech Republic and India, and it plans to convert additional lines depending on market demands.
Hyundai’s first dedicated EV factory, the 300,000-unit-a-year Hyundai Motor Group Metaplant America in Georgia, the U.S., is under construction with a goal to start operations in the second half of 2024.
Another EV-dedicated plant is being built in Korea with an aim to start production in 2025.
Hyundai expects more than 50 percent of its vehicle sales in South Korea, the U.S. and Europe will be battery-powered ones in 2030 if the Hyundai Motor Way road map goes as planned.
Meanwhile, the company said it will actively respond to the risks it faces in the process of transforming into a future mobility solutions provider.
Hyundai plans to reorganize its production facilities in China, the world’s biggest automobile market, and product lineups to make a turnaround, the statement said.
Following the sale of its first plant in China in 2021 and the shutdown of its fifth plant in China in 2022, Hyundai plans to halt production at another plant this year.
The two suspended plants will be up for sale, and the remaining two factories will focus on expanding exports to emerging markets.
The number of Hyundai models available in China will be reduced from the current 13 to eight, with the focus on SUVs and high-end Genesis models, the statement said.
(Yonhap)
