Hyundai Motor Holds Groundbreaking Ceremony for Chinese Hydrogen Fuel Cell Corporation "Targeting Global Hydrogen Market"

Chairman Chung Euisun "Actively Leading Clean Mobility Innovation"
Meeting SK Group Chairman Chey Tae-won in the Afternoon for Hydrogen Cooperation

Hyundai Motor Company 'HTWO Guangzhou' Bird's-eye View Rendering

[Asia Economy Reporters Changhwan Lee, Jehun Yoo] Hyundai Motor Group has broken ground on its first overseas hydrogen fuel cell system production base. Hyundai Motor Group Chairman Chung Euisun attended the groundbreaking ceremony and later visited SK Incheon Petrochem to unveil plans for collaboration in the hydrogen business, embarking on a vigorous campaign to revitalize the hydrogen economy.

On the 2nd, Hyundai Motor Group held the ‘HTWO Guangzhou’ groundbreaking ceremony by connecting Hyundai Motorstudio Goyang and Yuexiu International Conference Center in Guangzhou, Guangdong Province, China via online video conference.

HTWO Guangzhou is Hyundai Motor Group’s first overseas hydrogen fuel cell system production plant, built to accelerate its global hydrogen business and expand the hydrogen industry ecosystem.

It is also the first large-scale hydrogen fuel cell system dedicated factory established in China. HTWO (Hydrogen+Humanity) is Hyundai’s hydrogen fuel cell system brand, symbolizing hydrogen for humanity.

HTWO Guangzhou is being constructed in the Guangzhou Development Zone, Guangdong Province, China, with a target completion in the second half of 2022. The site covers 207,000㎡ (63,000 pyeong) and will house the fuel cell system factory and an innovation center.

The annual production target is 6,500 units in total. Hyundai Motor Group plans to gradually increase supply volume considering the Chinese market situation and central government policies. HTWO Guangzhou will be established with 100% Hyundai Motor Group equity.

Chairman Chung, who attended the groundbreaking ceremony, emphasized, "Hyundai Motor Group will actively lead clean mobility innovation through world-class technology, hydrogen business capabilities, know-how, and proactive cooperation with various partners in China." He added, "Furthermore, we will strive to provide a clean environment for humanity." Attendees from China included Li Xi, Secretary of Guangdong Province, and Ma Xingrui, Governor of Guangdong Province.

In the afternoon, meeting SK Chairman Chey Tae-won to strengthen hydrogen cooperation

Chairman Chung and Hyundai Motor Group plan to expand the use of hydrogen fuel cell systems as power sources for various mobility and industrial sectors alongside the establishment of HTWO Guangzhou, taking the lead in realizing carbon neutrality.

Last July, at the ‘Korean New Deal National Report Conference,’ Chairman Chung stated, "We will expand sales of hydrogen buses and hydrogen trucks in the domestic market and actively pioneer overseas markets such as the United States and China."

In the afternoon, he is scheduled to attend the 3rd Hydrogen Economy Committee meeting held at SK Incheon Petrochem under the chairmanship of Prime Minister Chung Sye-kyun, where he will discuss ways to accelerate the hydrogen economy with SK Group Chairman Chey Tae-won and others. The Hydrogen Economy Committee serves as a control tower for the hydrogen economy sector, composed of eight ministries, industry, academia, and civil society. Chairman Chung participates as a private sector member representing the industry.

Hyundai Motor will sign a Memorandum of Understanding (MOU) with SK and Incheon City to establish a hydrogen business foundation. It is expected that Hyundai will utilize hydrogen produced by SK, and in return, Hyundai will provide hydrogen vehicles to SK, fostering cooperation between the two companies.

SK Group established a hydrogen business promotion team at the group level last year, preparing for full-scale entry into the hydrogen business, emerging as an important hydrogen economy partner for Hyundai. Recently, as its first investment of the new year, SK invested a total of 1.85 trillion KRW in the U.S. hydrogen company Plug Power, acquiring a 9.9% stake and becoming the largest shareholder.

Additionally, on the 16th of last month, Hyundai Motor signed a hydrogen business cooperation agreement with POSCO Group, agreeing to gradually convert 1,500 vehicles such as trucks operating at POSCO’s Pohang and Gwangyang steelworks to Hyundai’s hydrogen electric vehicles. They will also jointly promote hydrogen fuel cell power generation projects. Hyundai Motor Group aims to produce 500,000 hydrogen electric vehicles and 700,000 hydrogen fuel cell systems by 2030.

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