A new manufacturing facility and a new SUV are on the way.
Hyundai and Kia reportedly have big ambitions for future production in the U.S. The company said that it plans to invest as much as $3.1 billion USD in the U.S. in the next five years, following in the footsteps of companies like Ford and GM in the wake of President-elect Donald Trump’s proposed tariffs.
Part of the proposed $3.1B investment would include a new factory, which would be used specifically for production of Hyundai’s luxury Genesis brand. The company hopes to introduce as many as six models by 2021. It would also include production of a U.S.-specific SUV. The planned investment would signify a 50 percent increase over the amount the South Korean automaker has already invested in the U.S. in the previous five-year period. Just $2.1B USDwas spent in that time.
In an interview with media members earlier in the week, Hyundai Motor President Chung Jin-haeng told reports that, "We expect a boost in the U.S. economy and increased demand for various models as President-elect Trump follows through on his promise to create one million jobs in five years. We will actively consider introducing new models that have increasing demand and profits."
But Hyundai and Kia aren’t the first to propose a more in-depth strategy. Ford recently announced plans to boost production in the U.S., while FCA announced more than a year ago that the company was investing heavily into a Michigan production facility. Toyota, meanwhile, has been threatened by President-elect Trump with a big border tax on Mexican-produced Corollas, but will continue to move forward with its Guanajuato plant and says it looks forward to working with Trump in future manufacturing practices.
Source: Automotive News