Hyundai’s new boss gets rid of Trump’s fears and sticks to EV

South Korean automaker’s early investment in the U.S. puts Hyundai in a favorable position

Since high tariffs in most automotive industries are imminent, many automakers must be the best way to minimize impact. Some people like Honda reportedly plan to move some production from Mexico to the United States. Others, such as Hyundai, appear to be at the race lead and don’t care too much about Trump’s next move.

Read: Musk-Trump friendship is “positive” for all automakers, says new CEO of Hyundai

During the first Trump administration, Hyundai Motor Group decided to make huge electric vehicle investments in the United States, a decision that could now begin to bring dividends. Speaking at the company’s recent annual shareholder meeting in South Korea, CEO Jose Munoz confirmed that the brand’s “localization strategy” will “help mitigate the impact of any potential policy changes”.

Modern BAT payment

This is Munoz Bloomberg Report. His views mimicked his comments a few days after the CEO began, saying the relationship between President Trump and Elon Musk “should be good for the industry.”

At the end of last year, Hyundai began building the all-electric Ioniq 5 in a massive “Metaplant” west of Savannah, Georgia, about two years after the site broke ground. The factory will handle the production of five other electric vehicles from the Hyundai, Kia and Genesis brands. Not only that, in May last year, Munoz revealed that the factory will adapt to also build hybrid cars.

A $12.6 billion gambling

Hyundai will invest about $12.6 billion in electric vehicle and battery manufacturing facilities in Georgia. Speaking about these investments earlier this year, Munoz confirmed that it was not done due to President Biden’s Inflation Reduction Act, either due to any other incentives.

“It’s not a good policy to come and go just because of incentives,” he said. “We think the U.S. market is the most important market for us, and it will continue to be the most important in terms of absolute growth, so investing and localization are a good strategy. I think we’re better today than four to five years ago.”