Hyundai Motor Revamps US Eco-Friendly Vehicle Lineup... Completes 10 Models in 2022

Restructuring SUV-Centered Lineup and Strengthening Eco-Friendly Vehicles Strategy in the US
Establishing 10 Eco-Friendly Models Including 3 Sedans and 7 SUVs Within 2 Years

[Asia Economy Reporter Kim Ji-hee] Hyundai Motor Company is making a major overhaul of its eco-friendly vehicle lineup in the U.S. market. The core of the plan is to reorganize the product lineup centered on the popular sports utility vehicles (SUVs) in the U.S. and increase the current seven eco-friendly vehicle models to ten by 2022.

According to Hyundai Motor America (HMA) on the 12th, Hyundai will complete a total of 10 eco-friendly vehicle models in the U.S. market by the end of 2022, including three sedans and seven SUVs. Hyundai will discontinue all Ioniq models currently on sale, including hybrid (HEV), plug-in hybrid (PHEV), and battery electric vehicle (BEV) models, and replace them with eco-friendly versions of the Tucson and Santa Fe. For BEV models, in addition to the currently sold Kona, Hyundai plans to launch the Ioniq 5 and Ioniq 6 models based on the electric vehicle-exclusive platform E-GMP.

Olavici Boil, Vice President of Product Planning and Mobility Strategy at HMA, said, "Hyundai is designing smart mobility solutions that meet not only the vehicles needed now but also the demands as future environments and means of transportation," adding, "Through new technologies, we will promote an environmentally friendly and 'zero-emission' ecosystem."

The new electrification strategy can be summarized as a lineup reorganization centered on SUVs and an expansion of the eco-friendly vehicle product lineup. According to this plan, by the end of 2022, Hyundai's eco-friendly vehicle lineup will consist of ▲4 HEV models (Elantra, Sonata, Tucson, Santa Fe) ▲2 PHEV models (Tucson, Santa Fe) ▲3 BEV models (Kona, Ioniq 5, Ioniq 6) ▲1 FCEV model (Nexo). As of this year, eco-friendly SUVs were limited to two models, Kona and Nexo, but this will increase to seven models in two years. In particular, since Tucson and Santa Fe are Hyundai's main models leading local sales, this is interpreted as a strategic move to compete in the U.S. eco-friendly vehicle market.

The reason Hyundai hurried to announce its North American electrification roadmap is believed to be due to the new administration of U.S. President-elect Joe Biden, which is emphasizing eco-friendly policies starting early next year. Biden has prioritized eco-friendly policies even before taking office. Because of this, the U.S. eco-friendly vehicle market is expected to experience rapid growth starting next year. Biden's electric vehicle-related pledges include installing 500,000 electric vehicle charging stations nationwide by 2030 and replacing vehicles used by the federal government and others with eco-friendly vehicles.

Especially from Hyundai's perspective, which has set a goal to sell one million electric vehicles by 2025 and achieve a 10% global market share, the rapidly growing U.S. market is one that must be captured. Already, global automakers are intensifying competition to dominate the U.S. eco-friendly vehicle market, with GM recently announcing plans to hire 3,000 new employees related to electric vehicle development.

Earlier, Jose Munoz, Hyundai Motor's Global Chief Operating Officer (COO) and Head of North America, also stated at an online press conference on the 9th (local time), "Hyundai's eco-friendly vehicles are allies to President-elect Biden," and added, "We will cooperate with the new administration to expand infrastructure such as electric vehicle charging and hydrogen fuel supply."

Industry insiders said, "Since Hyundai has secured considerable competitiveness in the eco-friendly vehicle market, ranking among the top in global electric vehicle sales, the policy direction of the Biden administration will be an opportunity to expand its presence in the U.S. market."

This content was produced with the assistance of AI translation services.