Hyundai has plans to open a plant in Georgia

A top Hyundai executive said that the company has to start electric vehicle and battery manufacturing at a $7.6 billion complex in coastal Georgia as soon as possible, propelled by federal electric vehicle incentives that favour domestic manufacture. Hyundai President and Global Chief Operating Officer Jose Munoz made the statements to reporters in Atlanta during the announcement of a partnership with Georgia Tech aimed at expanding research into hydrogen-powered vehicles and producing workers for the Korean company. Euisun Chung, executive chairman of parent company Hyundai Motor Group, was among those present. The company, which also manufactures Kia and Genesis vehicles, claims that the Inflation Reduction Act is unfair to companies that import electric batteries or vehicles from outside North America. One of President Joe Biden’s signature achievements, the huge federal statute is geared in part at addressing climate change. The law gives a tax credit of up to $7,500 for EV buyers who buy cars built in North America using domestic batteries.

The regulation has nonetheless aided Hyundai and other firms selling foreign vehicles because dealers can use the credit to any leased electric vehicle, regardless of where it is manufactured, to reduce a customer’s monthly payment. Munoz presented numbers on Tuesday showing that the Hyundai group sold or leased the second most electric vehicles in the United States in the first six months of 2023, trailing only Tesla. Nonetheless, the law is pressuring Hyundai to produce batteries and electric vehicles in the United States more swiftly, according to Munoz, with the firm hastening construction in an attempt to begin manufacturing in Georgia in 2024.”What we decided to do is double down,” Munoz explained. “We try to move the project as quickly as possible.” And we are convinced that the initial January 2025 date will be pushed up by three months or so. Even more, if we can.”