Hyundai Motor-POSCO Collaborate on Hydrogen Business to "Create Hydrogen Ecosystem"

Supply of 1,500 Hydrogen Electric Vehicles Including Hydrogen Trucks, Cooperation in Technology Development for Hydrogen Production and Utilization
Chairman Chung Eui-sun "Contributing to the Creation of a Robust Hydrogen Ecosystem"

Chung Euisun, Chairman of Hyundai Motor Group

[Asia Economy Reporter Changhwan Lee] Hyundai Motor Group and POSCO Group are advancing cooperation in the hydrogen business.

On the 16th, the two companies announced that they signed a "Memorandum of Understanding on Cooperation in the Hydrogen Business" at POSCO Cheongsongdae in Pohang.

The event was attended by Hyundai Motor Group Chairman Chung Euisun, Hyundai Motor Strategic Planning President Gong Young-woon, Hyundai Steel Vice President Park Jong-sung, POSCO Group Chairman Choi Jeong-woo, POSCO Steel Division Head Kim Hak-dong, and POSCO Industrial Gas Hydrogen Business Division Head Yoo Byung-ok, among other officials from both companies.

Hyundai Motor Group and POSCO Group share the view that achieving carbon neutrality through the establishment of a hydrogen ecosystem is essential to creating a sustainable world. After actively exploring areas of cooperation where synergies between the two companies can be realized, they concluded the agreement on this day.

First, the two companies will gradually convert 1,500 vehicles, including trucks operating at POSCO’s Pohang and Gwangyang steelworks, into hydrogen electric vehicles. They will also cooperate to establish hydrogen charging stations for commercial vehicles within the steelworks.

In addition, POSCO Group will supply hydrogen and Hyundai Motor Group will supply hydrogen fuel cells to jointly promote a fuel cell power generation business.

Furthermore, the two companies will focus on joint research and development to expand the use of hydrogen energy, including developing technologies related to green hydrogen production and utilization, and next-generation materials applicable to hydrogen electric vehicles.

Along with this, they will actively seek hydrogen-related business opportunities overseas by participating in technology development projects for green hydrogen production projects conducted jointly in foreign regions. Hyundai Motor will also promote demand discovery for hydrogen electric vehicles and other products in the respective countries and neighboring areas.

Continued Cooperation Including Use of POSCO Materials in Hyundai’s Nexo

Hyundai Motor Group and POSCO Group have continued their cooperation by applying POSCO Group’s developed uncoated metal separator materials to the hydrogen electric vehicle Nexo, and are actively working toward realizing a hydrogen society.

Hyundai Motor Group has successfully launched the hydrogen electric vehicle Nexo, hydrogen truck Xcient, and hydrogen bus Elec City, and announced a goal to produce 500,000 hydrogen electric vehicles and 700,000 hydrogen fuel cell systems by 2030. Hyundai Steel has also contributed to the expansion of the hydrogen economy through hydrogen production and supply.

POSCO Group, under the vision of "Leading Green Hydrogen Company Driving the Hydrogen Economy" announced last December, has declared its intention to establish a 5 million ton hydrogen production system by 2050 and achieve 30 trillion KRW in sales from hydrogen business to lead the decarbonization era.

Hyundai Motor Group Chairman Chung Euisun said, "The paradigm shift to a hydrogen economy for achieving carbon neutrality is a challenge faced by all industries and companies and an essential element for realizing a sustainable future. Through cooperation with POSCO Group, we will contribute to creating a robust hydrogen industrial ecosystem by producing tangible results."

Meanwhile, prior to the signing ceremony, Hyundai Motor Group executives toured Pohang No. 2 blast furnace, one of POSCO’s smart blast furnaces. The smart blast furnace is characterized by automatically controlling the furnace condition using deep learning-based AI technology to improve productivity and molten iron quality. Currently, POSCO operates a total of four such furnaces: two in Pohang and two in Gwangyang.

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