- Giant-scale, mid- to long-term funding to strengthen Korea’s place as a world mobility hub and additional energize nationwide financial system
- Korea home funding of KRW 125.2 trillion over the following 5 years – a KRW 36.1 trillion enhance over the earlier 5 years
- Advancing AI/Robotics and hydrogen business; anticipated to play a job in revitalizing the nationwide financial system by way of initiatives comparable to regional investments
- Establishing AI information middle and AI software middle, strengthening bodily AI capabilities in areas comparable to autonomous driving and robotics
- Construct robotics manufacturing and foundry services, whereas accelerating entry of automotive components suppliers into robotics elements sector
- Establishing manufacturing services for PEM electrolyzers and associated elements within the southwest area to place them as a world export enterprise
- Elevated funding to safe future mobility progress engines and broaden new home EV manufacturing services:
- Future enterprise funding (KRW 50.5 tln): To strengthen AI, autonomous driving, software program (SDV), robotics, and EV manufacturing capability
- R&D (KRW 38.5 tln): To develop new merchandise and core applied sciences for sustained mobility business competitiveness
- CAPEX (KRW 36.2 tln): To optimize manufacturing services in response to evolving manufacturing environments, and assemble International Enterprise Middle
- Strengthening Korea’s position as a core mobility manufacturing hub — diversifying export locations in addition to increasing automobile exports, together with EVs
Hyundai Motor Group (the Group) introduced at present it should make investments KRW 125.2 trillion in South Korea over the five-year interval from 2026 to the tip of 2030, representing the corporate’s largest-ever home funding dedication.
The funding plan considerably expands on the Group’s earlier dedication, exceeding the KRW 89.1 trillion funding in Korea from 2021 to 2025 by KRW 36.1 trillion. The brand new five-year dedication marks an annual common funding of KRW 25.04 trillion over this future interval, and a greater than 40 p.c enhance from the annual common over the previous 5 years of KRW 17.8 trillion.
This important home funding technique highlights the Group’s agility in actively responding to the quickly altering world enterprise surroundings, positioning the Group successfully for long-term progress. The plan goals to strengthen South Korea’s standing as a world mobility innovation hub in addition to stimulate broader financial progress by advancing the AI/Robotics business and progressing the inexperienced power ecosystem.
The KRW 125.2 trillion funding will probably be allotted throughout three key areas:
- KRW 50.5 trillion in future enterprise funding throughout AI, Software program Outlined Automobiles (SDVs), electrification, robotics, and hydrogen
- KRW 38.5 trillion in analysis and improvement to develop new merchandise and core applied sciences
- KRW 36.2 trillion in capital funding to optimize manufacturing services and assemble the Group’s International Enterprise Middle (GBC)
A good portion of the funding will give attention to new companies based mostly on superior AI applied sciences, comparable to robotics, contributing to the event of Korea’s AI/Robotics innovation ecosystem.
The Group can also be anticipated to play a key position in selling balanced regional improvement by way of the institution of EV-dedicated services and the upgrading of manufacturing strains at regional manufacturing services for brand spanking new mannequin launches, in addition to the development of a PEM electrolyzer plant within the southwestern area.
By way of this mid-to long-term funding, Hyundai Motor Group will help Korea in additional strengthening its place as a key world hub for mobility manufacturing. The Group plans to diversify export locations for automobiles produced at home vegetation and considerably broaden exports by growing Korea’s EV-dedicated services into world export bases.
The Group goals export 2.47 million items by 2030, up from 2.18 million items in 2024, and broaden EV exports – together with EVs, PHEVs, HEVs, and FCEVs – from 690,000 items to 1.76 million items over the identical interval.
Targeted Funding in Korea’s AI/Robotics Business and Inexperienced Power Ecosystem
To drive a paradigm shift within the home industrial panorama, the Group’s investments will nurture the AI/Robotics business. It will give attention to constructing AI infrastructure and increasing superior ecosystems, comparable to AI-powered robotics.
Hyundai Motor Group lately introduced its strengthened collaboration with NVIDIA and is actively enhancing its AI capabilities throughout in-vehicle AI, autonomous driving, good factories, and robotics.
To course of the large quantity of knowledge required for AI mannequin coaching and operations, the Group is reviewing the institution of a high-power AI information middle. The info middle is deliberate to characteristic petabyte-scale storage capability for AI coaching information generated by bodily AI robots and autonomous automobiles.
The Group can also be pushing ahead the institution of the ‘Hyundai Motor Group Bodily AI Software Middle’, which is able to play a central position in advancing the bodily AI ecosystem. This middle will confirm the completeness and security of robots skilled on large-scale behavioral information by way of AI and is anticipated to function an innovation testbed to make sure reliability earlier than deployment in real-world industrial settings
Primarily based on customer-tailored robotics applied sciences developed by way of bodily AI, Hyundai Motor Group will construct a robotics manufacturing and foundry facility. It will allow the Group to supply full robotics programs in-house and supply foundry companies for SMEs missing manufacturing experience.
In parallel, the Group will actively help R&D in robotics elements by current automotive components suppliers. By accelerating the entry of automotive components suppliers into the robotics sector, these suppliers are anticipated to contribute to the localization of core elements and the export of high-value-added merchandise, additional accelerating Korea’s industrial transformation.
The Group can also be planning investments within the improvement of water electrolyzers for inexperienced hydrogen manufacturing to reinforce the inexperienced power ecosystem.
Hyundai Motor Group plans to construct a 1GW PEM electrolysis plant within the southwest, capitalizing on the available provide of renewable power, together with close by hydrogen cargo facilities and refueling stations.
To speed up Korea’s transition to a hydrogen financial system, the Group can even set up services for manufacturing PEM electrolyzers and hydrogen gas cell elements, positioning these operations as a world export enterprise.
Hyundai Motor Group additionally plans to actively take into account investments – by way of session with the Korean authorities and native authorities – to determine a hydrogen AI Sensible Metropolis that integrates the Group’s core applied sciences, together with AI, hydrogen power, and V2X.
By way of expanded funding throughout varied areas, Hyundai Motor Group goals to stimulate native financial progress and lay the inspiration for the sustainable progress of Korea and its mobility business.
At the moment, Hyundai Motor Group operates automobile and components manufacturing vegetation in all key geographical areas throughout Korea. Over the following 5 years, the corporate will proceed to spend money on manufacturing line optimization to accommodate the launch of latest automobile fashions.
New vegetation are additionally beneath development. Hyundai’s devoted EV plant in Ulsan will probably be accomplished subsequent 12 months, and a new hydrogen gas cell manufacturing facility is scheduled to start operations in 2027. Kia has accomplished a brand new devoted EV plant for PBVs in Hwaseong, Gyeonggi Province, and is making ready to begin operations.
Hyundai Metal Firm is constructing an LNG energy plant at its Dangjin steelworks, with KRW billions additionally being invested in blast furnace upgrades. Hyundai Engineering Co. Ltd. is increasing nationwide infrastructure, comparable to EV charging stations, to handle underserved areas.
Funding Technique and Timeline
Hyundai Motor Group’s funding plans by sector from 2026 to 2030 embody: KRW 50.5 trillion in future enterprise funding, KRW 38.5 trillion in R&D investments, and KRW 36.2 trillion in capital investments.
Future enterprise funding will probably be allotted in key technological areas, comparable to AI-powered autonomous driving, AI-driven autonomous manufacturing, AI robotics, electrification and SDVs, and hydrogen power to solidify the Group’s basis for sustainable progress. Key areas of future enterprise funding embody:
- AI-powered autonomous driving know-how allows a automobile to understand its environment utilizing sensor information and make real-time driving selections independently by way of AI
- The Group is growing this know-how by way of its end-to-end deep studying mannequin, Atria AI, and is actively collaborating with 42dot and Motional to convey this imaginative and prescient to life
- In parallel, the Group is specializing in the event of AI-driven autonomous manufacturing by integrating AI with robotics and digital twin applied sciences
- Allow AI to independently function and optimize manufacturing processes
- Software program Outlined Automobile Improvement
- Not too long ago introduced ‘Pleos’ mobility software program model
- Plans to unveil an SDV Tempo Automobile within the second half of 2026, decoupling automobile {hardware} and software program
- Powertrain and Lineup Diversification
- Proceed to strengthen electrification capabilities
- Introduce Prolonged Vary Electrified Automobiles (EREVs) with over 900 km driving vary
- Battery Know-how Internalization
- Strengthen investments to enhance battery security and marketability
- Give attention to internalizing design and improvement capabilities for varied battery sorts
- Hydrogen Power Enterprise Growth
- Improve the event of next-generation gas cell programs, hydrogen buses, and vehicles
- Purpose to solidify world management in hydrogen gas cell automobiles
- Construct a hydrogen ecosystem in addition to a full end-to-end hydrogen worth chain spanning manufacturing, provide, storage, and utilization with varied Hyundai Motor Group associates
R&D funding will give attention to strengthening the Group’s competitiveness within the mobility business and growing new merchandise and core applied sciences to flexibly reply to world market situations.
- Develop new merchandise and core applied sciences
- Give attention to the event of hybrid engines for rear-wheel drive functions
- Pursue regional strategic fashions and know-how methods to satisfy the wants and environments of key world markets
Capital funding will probably be directed to reinforce manufacturing optimization in Korea, innovation in manufacturing know-how, and the enlargement of customer support hubs.
- Hyundai Motor Group’s International Enterprise Complicated (GBC)
- Development will start after finishing the Seoul metropolis allow course of
- GBC will probably be a world innovation hub in addition to a landmark for Korea and can create important financial impression throughout and after development
Hyundai Motor Group expects the large-scale home funding to advance associated industries, contribute to strengthening Korea’s place as a world mobility innovation hub, and additional energize the nationwide financial system.
