Hyundai Motor Company is planning to increase its production capabilities as it aims to be one of the world’s top three electric vehicle (EV) manufacturers by 2030. The company is investing heavily in research and development, expanding its EV lines, building new plants and platforms, and increasing production capacity. The automaker is now developing two more platforms, which will enable it to have 18 models by 2030. Hyundai’s CEO, Jaehoon Chang, has set a target of achieving two million annual EV sales around 2030.
New EV Platforms
Hyundai’s EVs are currently developed on an advanced bespoke EV platform, the Hyundai Electric Global Modular Platform (E-GMP). The company plans to introduce vehicles in 2025 based on its two new EV platforms, eM and eS, which are expected to result in more efficient vehicle development and greater cost reductions.
Hyundai’s Growth and Expansion Plans
Hyundai Motor Group, which includes Hyundai, Kia, and Genesis, aims to become the world’s third-largest automaker by sales. The company sold a total of 6.85 million vehicles globally last year, up 2.7% from the previous year, and has become the world’s third-largest automaker behind Toyota and Volkswagen. Hyundai reported a 92% year-on-year increase in net profit for the first quarter of 2023, mainly driven by the US and Europe.
To compete with Tesla and Ford, Hyundai is building a $5.5-billion EV plant with South Korean battery maker SK On in Georgia to supply batteries for Hyundai and Kia EVs assembled in the US. The investment is also being driven by the US Inflation Reduction Act, which offers tax credits of $7,500 if the vehicle and its batteries are assembled in the US. Hyundai currently has no EV plant in the US.
Hyundai’s CEO, Jaehoon Chang, said the company is “now on a deep dive on how we can regain the competitiveness of the China market.” China’s EV sales are expected to reach more than eight million units in 2023, according to Counterpoint Research. Hyundai eventually wants to penetrate China’s consumer market, where its exposure is “very much limited at this moment.” Domestically, Hyundai said it plans to invest 24 trillion won in South Korea’s EV industry by 2030.
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