Hyundai Motor CEO: "Musk's Influence Positive for Industry"

Investment and Growth Promotion for US Competitiveness
Revealed in Bloomberg TV Interview

Jose Munoz, CEO of Hyundai Motor Company, gave a positive assessment of the increased likelihood that Elon Musk, CEO of Tesla, will influence overall policies in the United States.

In an interview with Bloomberg TV released on the 7th (local time), Munoz was asked, "How concerned are you about Musk, the head of an electric vehicle competitor, wielding enormous influence at the White House?" He replied, "Honestly, I do not see that as a cause for concern." He added, "Having someone very close to the U.S. industry and the electric vehicle sector (at the White House) will be positive for the industry," explaining, "(Musk) will pursue his own interests and probably promote investment and growth to maintain competitiveness in the U.S. against Chinese companies and other competitors."

Jose Munoz Hyundai Motor CEO. Bloomberg TV

Although there is a high possibility that local business conditions will change, such as the withdrawal of electric vehicle tax credits under the U.S. Inflation Reduction Act (IRA), Munoz said Hyundai will maintain its existing strategy. He stated, "Our company decided to make significant investments in the U.S. during the Trump administration," and added, "We did not invest in the U.S. because of the IRA or incentives." He further emphasized, "Generally, investing because of incentives is not a good policy," and said, "We currently consider the U.S. market the most important, so investment and localization in the U.S. are good strategies."

When asked whether the merger of Japanese competitors Nissan and Honda could pose a threat, he emphasized that "our core goal is to provide the best products to customers," and that strengthening competitiveness through internal capabilities and technology development is more important than industry rankings. Regarding the unstable political situation in Korea, he said, "So far, we have not been affected," and predicted that the situation would become clear soon.

Regarding Hyundai’s recent decision to invest $1.1 billion (approximately 1.6 trillion KRW) in its local joint venture with Beijing Automotive in China, Munoz described it as part of a "restructuring." He said, "Our investment and growth with partners demonstrate our commitment to Chinese customers," adding, "Being in China is a very good way to observe how local competitors perform better, recognize our areas for improvement, and maintain humility."

A view of Hyundai's dedicated electric vehicle factory in the United States, unveiled in February last year by officials from the Georgia state government and Hyundai Motor Company. Photo by Yonhap News.

On the same day, Hyundai announced that it would begin selling cars directly to consumers on the e-commerce platform Amazon. In Amazon’s ‘Autos’ section, consumers across the U.S. can select vehicles, easily access financing services, complete payment, and then pick up their cars at a Hyundai dealer of their choice.

Munoz explained in the interview that selling on Amazon "will reduce the time it takes to purchase a car to about 15 minutes." The company expects that by the late 2020s, online platform sales will account for 30% of total local sales.

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