Ahead of a high-stake meet between the US President Joe Biden and his S. Korean counterpart Moon Jae-in, scheduled to take place in Washington next week, the S. Korean multinational automotive industry giant Hyundai Motor Group had said on Thursday that it had been brewing off an option to invest a stark upsum of $7.4 billion in the United States by 2025 largely in a bid to manufacture electric vehicles, step up investment in smart mobility solutions and upgrade production facilities. On top of that, latest move from Hyundai Motor Group to lay off a whopping $7.4 billion in fresh capital spending in the United States came forth as SK Innovation, the major EV battery supplier for Hyundai, had reached an accord with German carmaker Volkswagen AG and the United States’ second-largest traditional carmaker Ford Motor Co.
to construct new US factories for them in bids to ramp up the automakers’ capacity in the country.
Hyundai Motor Group to invest $7.4 billion in the United States
Nevertheless, Hyundai Motor Group was quoted saying on its statement that the second-largest family-owned business in S.
Korea having had a market cap of $166 billion to-date, would set out a e-vehicle production line at a US facility as early as by 2022, while its affiliate Kia Corp that held a 33.3 per cent stake in the company, would launch separate production facilities for electric vehicles in the United States.
Although, Hyundai Motor Group, the second-largest multinational conglomerate in S. Korea, did not disclose the details of its investment plan in the United States, however, had said that the investments would mostly involve Hyundai and Kia Corp.
As of now, Hyundai Motor has a manufacturing factory in the US state of Alabama, while Kia has been operating a plant in Georgia.