- The sister companies are likely to invest around USD 7.4 billion by 2025.
- U.S. President Joe Biden has long emphasized the need to boost EV adoption in the country.
The South Korea-based multinational automakers Hyundai Motor Company and KIA Corporation have announced a multi-billion-dollar investment for manufacturing EVs in the U.S. The sister companies have reportedly chalked out a plan to establish various EV production facilities and other necessary logistics in the coming years.
Jose Munoz, CEO of Hyundai Motor North America and Global Chief Operating Officer at Hyundai Motor stated that this investment shows the company’s commitment to its customers and dealers in the U.S. He further claimed that Hyundai will pave way for the future of EV mobility across the country.
Hyundai Motor has reportedly revealed its initial plan to invest USD 7.4 billion by 2025 mainly focused on EV production and eventually widening its foray to smart mobility solutions.
Sean Yoon, President, and CEO of Kia North America mentioned that the company intends to strengthen its market presence across several economies. This strategized investment to produce electric vehicles is one step forward in achieving that goal, he added.
It is worth mentioning that U.S. President Joe Biden has strongly highlighted the dire need to shift to electric mobility. The Government is also planning to supersede around 650,000-vehicle cavalcade with country-made electric vehicles.
In this context, experts cite that the move by Hyundai and KIA is likely to allow them to sell to the federal government as well.
Currently, Hyundai and KIA already have their vehicle manufacturing facilities in Alabama and Georgia respectively. The recent EV policy will allow the two South Korean automakers to cater to the increasing demand for electric vehicles by U.S. citizens.
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