(Seoul) Hyundai revealed on Wednesday a plan to invest more than $50 billion in South Korea by 2026, much of it to promote the development and production of electric vehicles.
With its subsidiary Kia, Hyundai is the world’s third largest automaker in terms of sales, but the South Korean giant is lagging behind in the electric vehicle sector, dominated by Chinese manufacturer BYD.
Hyundai, which intends to enter the world’s top three in electric vehicles, announced last year its objective to increase its annual production in this sector to more than 3.6 million units by 2030.
With this new investment of 68 trillion won ($50.5 billion), Hyundai Motor Group says it wants to “secure future growth engines in an uncertain business environment through a policy of constant evolution and innovation.”
Under the plan, Hyundai will create 80,000 jobs in South Korea and build three new electric vehicle factories, which is expected to increase annual electric vehicle production in the country to 1.51 million units. by 2030.
The group’s electric vehicle strategy also includes investments in infrastructure, software, battery technology and autonomous driving.
According to a Greenpeace report released in November, Hyundai’s growing sales of gas-guzzling sport utility vehicles have offset any climate gains from its transition to electric.
This document further notes that Hyundai-Kia has seen its SUV sales increase by more than 150% over the past decade.
SUVs emit about 12% more carbon dioxide than sedans, the NGO said, urging Hyundai to reduce its SUV sales.
When asked about this report, Hyundai said it is developing its fleet of “fully electric SUV vehicles,” including Kia’s EV6 and EV9.