Hyundai, the other South Korean still-automaker, is reportedly about to announce a huge new $20 billion south Korean investment in U.S. onshoring as well. This transformative action involves the construction of a $5 billion steel mill in Louisiana. Expected to hire around 1,500 workers, this facility will manufacture next-generation steel tailored for electric vehicles.
Hyundai’s current U.S. automotive assembly plants in Alabama and Georgia will receive steel produced at this new facility. They’ll use it to produce electric cars. Hyundai expected to soon announce plans for a third auto plant in Georgia. This decision will further cement its pledge to grow in the U.S.
Hyundai's strategic decision comes amidst a global trend where major international conglomerates are racing to dodge tariffs and prevent trade conflicts. Hyundai has become one of the United States’ top three sellers of electric vehicles. Their competition with Tesla is ardent and welcome in this rapidly exploding market.
Hyundai Motor global CEO José Muñoz underscored localization’s role in solving tariff issues with locality of production.
"The best way for [Hyundai] to navigate tariffs is to increase localization." – Hyundai Motor CEO José Muñoz
Hyundai will make its investment known jointly at the White House. Among those expected to be in attendance are President Donald Trump, Hyundai Chairman Euisun Chung and Louisiana Governor Jeff Landry. This cooperation really highlights how important Hyundai’s plans are in bolstering their competitive position within the U.S.
Hyundai’s aim to develop next-generation steel for electrical vehicles is another testament to their commitment to sustainability and innovation. The new steel plant in Louisiana will play a pivotal role in supplying materials for Hyundai's electric vehicle production, aligning with the company's broader goals of expanding its portfolio of environmentally friendly vehicles.