Jeong Eui-sun Heads to the U.S.... Will He Present a Response to the IRA?
Attendance at the Groundbreaking Ceremony of Georgia Electric Vehicle Factory
Hyundai Motor Group Chairman Chung Eui-sun, who announced plans for U.S. investments including an electric vehicle-only factory after a meeting during U.S. President Joe Biden's visit to Korea last May. They are shaking hands after the announcement.
[Asia Economy Reporter Choi Dae-yeol] Chung Eui-sun, Chairman of Hyundai Motor Group, departed for a business trip to the United States on the 24th. He is expected to attend the groundbreaking ceremony for the electric vehicle factory to be built in the U.S. and to review the overall local market situation.
According to industry sources, Chairman Chung flew to the U.S. around noon on the same day via a private jet. It is known that he plans to attend the groundbreaking ceremony scheduled on the 25th (local time) in Georgia, USA. Hyundai Motor Group decided last May to build a dedicated electric vehicle factory near Savannah, Georgia, with an annual production capacity of 300,000 units. The actual construction is scheduled to begin in the first half of next year, aiming for operation in the first half of 2025.
According to the local state government and others, the factory site covers an area of 11.83 million square meters, making it the largest private investment in the history of the Georgia state government. With the U.S. federal government actively supporting the creation of an electric vehicle ecosystem, Hyundai Motor, which is focusing on capturing the local market, appears to be responding in kind.
There is also interest in whether Chairman Chung will present countermeasures related to the Inflation Reduction Act (IRA) during this visit. Hyundai Motor and Kia are ranked second in local electric vehicle sales after Tesla, but due to the IRA, they have lost tax credits, significantly reducing their price competitiveness.
Hot Picks Today
As Samsung Falters, Chinese DRAM Surges: CXMT Returns to Profit in Just One Year
- "Most Americans Didn't Want This"... Americans Lose 60 Trillion Won to Soaring Fuel Costs
- Jung Won-oh Vows to Prioritize Youth Housing by Cutting Wasteful Budgets Like Mayor's Garden and Han River Bus
- "Striking Will Lead to Regret": Hyundai-Kia Employees Speak Out... Uneasy Stares Toward Samsung Union
- "Why Make Things Like This?" Foreign Media Highlights Bizarre Phenomenon Spreading in Korea
Local media report that additional announcements are expected at the local government level, and Hyundai Motor Group plans to showcase its latest products and technologies. The specific details have not been disclosed. Hyundai Motor Group is showing a more proactive stance, as evidenced by Chief Operating Officer Jose Munoz recently mentioning at a local conference that the Inflation Reduction Act has "astronomical effects."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
