South Korea’s Hyundai Motor Group plans to make a record Won24.3tn ($16.7bn) investment in its home market this year as it accelerates its shift to electric vehicles amid growing domestic and geopolitical challenges.
The group, which includes Hyundai Motor and affiliate Kia, is grappling with tougher competition abroad, as Donald Trump’s second term is expected to bring higher tariffs, while sluggish domestic demand has been compounded by an escalating political crisis.
The world’s third-largest carmaker behind Toyota Motor and Volkswagen said on Thursday the planned investment included Won11.5tn in research and development as the company bets on electrification and connected cars. Won12tn will go towards upgrading its facilities for EV production, while the rest will be used to accelerate its technological development for autonomous driving.