Hyundai Motor Group announced its largest domestic commitment to date, unveiling a Hyundai investment plan worth 125.2 trillion won over five years. Moreover, the strategy aims to accelerate Korea’s mobility transformation while reinforcing supply chains amid growing protectionism. The Hyundai investment plan also seeks to position Korea as a global innovation hub.
The group noted that the new commitment surpasses its previous five-year domestic spending by 36.1 trillion won. Furthermore, the increase raises average annual investment by nearly 40 percent. Executive Chair Chung Euisun shared the details during a meeting with President Lee Jae Myung and other major business leaders.
Chung emphasized Korea’s urgent need to strengthen artificial intelligence and robotics. Additionally, he highlighted the importance of expanding the green energy ecosystem. He said these priorities will nurture future technologies and support regional economies. As part of the Hyundai investment plan, the group intends to hire 10,000 employees next year.
Analysts expect the plan to significantly reinforce domestic production. In addition, they believe the investment will protect supply chains as global tariffs rise. Hyundai will also support suppliers by covering tariff costs created by recent U.S. trade shifts.
Hyundai allocated 50.5 trillion won to future-focused businesses. These include software-defined vehicles, mobility electrification, and hydrogen technology. Meanwhile, another 38.5 trillion won will fund research and development across current mobility operations. A separate 36.2 trillion won will upgrade facilities and strengthen operational capacity nationwide.
The group plans to expand electric vehicle output, and it will also modernize existing factories. Moreover, Hyundai aims to raise exports from 2.18 million units in 2024 to 2.47 million by 2030. Eco-friendly vehicle shipments should also climb from 690,000 units to 1.76 million by 2030.
The company will also build a facility to produce proton-exchange membrane electrolyzers. Consequently, these systems will generate carbon-free hydrogen that supports Korea’s hydrogen mobility vision.
The Hyundai investment plan follows a revised Korea–U.S. tariff agreement. Although the deal cuts tariffs from 25 percent to 15 percent, experts warn that Korean automakers still face higher duties than last year. Therefore, they say Hyundai’s expanded commitment helps ease industry concerns.
Hyundai will cover all U.S. tariff expenses for its tier-one suppliers in 2025. Furthermore, the company will calculate final support amounts using export performance data. For smaller suppliers, Hyundai will introduce new programs to strengthen competitiveness and stabilize domestic production.
A company official said Hyundai intends to boost Korea’s economic momentum through continuous innovation. Ultimately, the Hyundai investment plan reinforces the group’s long-term commitment to advancing Korea’s auto industry and protecting vital supply chains.
