Hyundai plans $5 billion US investment in mobility technology

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Hyundai Motor said on Sunday that it plans to invest $5 billion in the US by 2025 to further develop mobility technologies in areas such as autonomous driving, robotics and artificial intelligence.

The investment comes on the heels of the automaker’s recent announcement of a plan to spend $5.54 billion to build its first dedicated battery and electric vehicle manufacturing facility in the US, located outside Savannah, Georgia. . That facility is expected to open during the first half of 2025 and is projected to have an annual production capacity of 300,000 vehicles.

Some $10 billion of new investment will be used to further Hyundai’s “goal to provide smart and sustainable mobility solutions,” the company said.

Hyundai aims to be one of the top three suppliers of electric vehicles in the US by 2026 and is one of several global automakers establishing new supply chains and production facilities in the United States to take advantage of what is emerging. expect it to be a decade before exponential growth for the category.

The company had previously announced a plan to sell 3.23 million fully electric vehicles worldwide annually by 2030.

It also dovetails with a push by the Biden administration for companies to establish supply chains for electric vehicles in the US rather than abroad. The administration announced a $3.1 billion plan earlier this month to boost domestic battery manufacturing, which followed the president’s invocation of the Defense Production Act in April to encourage domestic production of minerals needed to make vehicle batteries. electrical. The White House has set an electric vehicle sales goal of 50% by 2030.

This newly announced investment from Hyundai will allow Hyundai to strengthen its partnership with “U.S. public and private entities to deliver innovative products and mobility solutions to our valued customers in the U.S. while supporting global carbon neutrality efforts.” Euisun Chung, Executive Chairman of Hyundai Motor. he said in a statement.

That will include areas such as robotics, advanced air mobility, artificial intelligence and autonomous driving, the company said.

Hyundai Motor bought an 80% stake in robot maker Boston Dynamics from Softbank in December 2020. The company, known for its four-legged dog-shaped robot Spot, was valued at $1.1 billion. Boston Dynamics, which was previously funded by Google, began commercially selling its first robot in June 2020.

The automaker is also pushing driverless technology through Motional, a company formed with US mobile technology company Aptive. Motional is currently testing its robotaxi service on US public roads and intends to begin offering a commercial service in 2023, one of several efforts to bring autonomous vehicles to roads across the country.

In November, Hyundai formed Supernal, which aims to develop a family of electric aerial vehicles in the burgeoning advanced air mobility industry. The company said it plans to launch its first commercial flight in 2028.

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