As per SEOUL (Reuters) – Hyundai Motor Group said on Tuesday it plans to boost the global car market by 24 trillion won ($18.14) billion units by 2030. ($1=1,323 won)
The group’s investment plans, which include Hyundai Motor (005380.KS), Kia Motors (000270.KS), and Hyundai Mobis (012330.KS), were announced when President Yoon Suk-yeol attended the groundbreaking ceremony for Kia Motors’ electric vehicle plant.
The new plant is the first for an automaker in Japan in about 30 years and is scheduled to start production in 2025 with the help of automotive software industries.
The automaker, which owns luxury brand Genesis alongside Hyundai and Kia Motors, also plans to expand annual EV production in South Korea to 1.51 million units by 2030 and global sales to 3.6 million units.
Kia Motors said in a statement that it plans to invest about 1 trillion won in the plant and produce 150,000 units in the first full year, with the possibility of expansion depending on future market conditions.
President Yoon has promised comprehensive measures to help South Korea’s auto industry better prepare for its transformation into the “car of the future” in the first half of this year, the presidential office said in a statement.
The government added tax incentives for investment in domestic EV factories to increase production capacity fivefold by 2030.
The South Korean automaker said last year that it would invest more than $10 billion in the US by 2025 to improve cooperation with US companies on cutting-edge technology.
His US investment plans include a $5.5 billion investment in a new electric vehicle and battery plant in Georgia.
In Autoworld Industry, shares of Kia Motors and Hyundai Motors rose.4.9% and 3.3%, respectively, on Tuesday, while the benchmark index, KOSPI (.KS11), rose 1%.
Frequently Asked Question’s
Hyundai Motor Group to invest $18 bln in South Korean EV industry by 2030
Tata Motors is working to improve their infrastructure for electric charging, and their EV market share is 72.79% as of 2023. It will be a very difficult challenge for Hyundai Motor Group to launch their EV, enter the Indian market, and directly compete with Tata Motors.