Hyundai to build $5.54 billion EV battery plant in Georgia

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Hyundai to build $5.54 billion EV battery plant in Georgia

SEOUL, May 21 (Yonhap) — South Korea’s Hyundai Motor Group said Saturday it will invest $5.54 billion to build a specialized electric vehicle (EV) plant in the United States. ) and car batteries, in order to further consolidate its electrification initiative in the world’s largest car market.

The announcement comes at a time when US President Joe Biden is visiting South Korea as part of his first trip to Asia, amid ongoing tension with China and continued provocations stemming from North Korea.

Hyundai Motor Group plans to begin construction of the 300,000-unit-year EV and battery manufacturing plant in January 2023 and start production in the first half of 2025, the state of Georgia said in a statement.

The group said it selected Georgia because of its speed to market, workforce and the state’s ability to meet the company’s carbon-neutral standards. Georgia is home to an existing network of Hyundai subsidiaries and suppliers.

Hyundai Motor Group Chairman Euisun Chung said in the statement that the US has always held an important place in the group’s global strategy, and they are excited to partner with the state of Georgia to achieve their shared goal. of electrified mobility and sustainability in the North American country.

Georgia Governor Brian Porter Kemp called Hyundai’s investment the largest economic development project in the state’s history.

According to the statement, the group’s unaffiliated suppliers will invest another 1,000 million dollars in the plant, generating at least 8,100 new jobs in the US state.

The proposed new EV plant in Georgia would help Hyundai Motor Co. and Kia Corp. strengthen their lineup as they plan to launch fully electric SUVs in the U.S., such as Hyundai’s IONIQ 7 and Kia’s EV9. Hyundai has a plant in Alabama and Kia has a plant in Georgia.

Hyundai Motor announced last month that it will invest $300 million in the Alabama plant to begin production of Hyundai’s Santa Fe gasoline hybrid model and Hyundai’s all-electric GV70 SUV later this year. Genesis luxury.

Hyundai Motor plans to launch 17 EV models by 2030, including six Genesis models, while Kia is scheduled to launch 14 EVs by 2027.

His EV plans are in line with the Biden Administration’s initiative to attract more investment in EVs and create more jobs in the EV industry. The US government wants half of the vehicles sold in the US to be electric by 2030.

Global carmakers have been racing to go green, amid tighter regulations on emissions of greenhouse gases, which scientists blame on global warming.

Hyundai has seven plants in South Korea and 11 overseas plants: four in China and the rest in the US, the Czech Republic, Turkey, Russia, India, Brazil and Indonesia. Their combined production capacity reaches 5.65 million vehicles.

Kia has eight local plants and seven abroad: three in China and the rest in the US, Slovakia, Mexico and India. Its total capacity is 3.84 million units.

Biden is scheduled to meet with Chung in Seoul on Sunday before leaving for Japan.

elena@yna.co.kr

(FIN)

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