According to media reports, Hyundai Motor plans to build an electric vehicle module factory in South Korea. Hyundai's investment shows that despite the slowdown in market growth, the company still believes that electric vehicles are the future.
On May 9, Hyundai Motor Group signed a memorandum of understanding (MOU) with Ulsan Metropolitan City in South Korea. According to reports, Ulsan Mayor Kim Du-gyeom and Hyundai Mobis CEO Lee Gyu-suk attended the signing ceremony.
The new EV module plant is expected to be completed by the end of 2025. The new plant will supply key components for electric vehicles, including driver's seat modules, to automakers such as Hyundai Motor. In addition, the plant will produce chassis modules, which will be delivered together with Hyundai's electrical and electrical (PE) systems. The chassis module will be an important part of the structural system of future electric vehicles, integrating functions such as suspension, steering, and braking.
Hyundai Mobis, the parts and service arm of Hyundai Motor Group, will be responsible for building an EV module plant in South Korea. Hyundai Motor plans to invest approximately USD 65 million in its electric vehicle module plant.
The EV module plant will expand Hyundai Mobis' manufacturing network in South Korea. Currently, Hyundai Mobis' manufacturing network includes battery system and PE system plants in Ulsan, Daegu, Chinju, and Pyeongtaek.
Hyundai's investment in an EV module plant demonstrates its commitment to the future of electric vehicles. Last month, the company entered into a partnership with Japanese materials maker Toray Industries to improve the performance of electric vehicles. In addition, Hyundai has invested nearly $1 billion in the development of autonomous driving technology.
However, the slowdown in the EV market has also taken a toll on Hyundai. In April, Hyundai decided to invest in the production of hybrid vehicles at its Metaplant plant in Georgia, which was originally a factory specializing in electric vehicles.
