Visitors look at Hyundai Motor's Ioniq 5 Robotaxi electric car during a press preview of the Seoul Mobility Show at KINTEX exhibition hall in Goyang on November 25, 2021.
(Photo : JUNG YEON-JE/AFP via Getty Images)
Hyundai Motor Company is ramping up its electrification strategy, with the South Korean automaker planning to spend $16.1 billion (19.4 trillion won) for its EV business. The company is targeting annual sales of 1.87 million EVs by 2030.
That sales target for electric vehicles at the turn of the decade is a statement of intent by Hyundai that previously announced an EV sales target of 560,000 units by 2025. The company aims high, with Hyundai targeting a 7 percent market share in the overall global EV market by 2030.
Hyundai is boosting its electric fleet to achieve that goal, with the company planning to launch 17 new EV models by 2030. Eleven of those models will be for Hyundai, while the remaining six are for the carmaker's Genesis luxury brand.
Hyundai starts electric push with IONIQ 6
The majority of the new Hyundai EV models will be SUVs, with the South Korean carmaker releasing six such variants. Hyundai will also roll out three sedans, one light commercial vehicle, and one new type model for their packed EV lineup. Hyundai has already started selling the IONIQ 6 this year, with the IONIQ 7 soon to follow in 2024.
The EV lineup for the Genesis luxury brand consists of four SUVs and two passenger cars. Out of these vehicles, customers are eagerly awaiting the Electrified GV70, which Genesis will launch later this year. Genesis has set an ambitious target, saying that all of its newly launched models beginning in 2025 will be electrified.
Hyundai also announced that it would boost its BEV production capability in regions with a high demand for electric vehicles. Hyundai is considering building a new dedicated production facility for EVs to achieve that goal.
Hyundai is not stopping there as the company is also planning to introduce an Integrated Modular Architecture (IMA) in 2025 and pour in more investments to improve its battery technology. Hyundai has also earmarked around 12 trillion won to boost the firm's software competitiveness in autonomous driving and connectivity.
Hyundai accelerates transition to electrification
During Hyundai's Virtual Investor Day, CEO Jaehoon Chang said that the company is "successfully accelerating its transition to electrification" and becoming a "global leader in electric vehicles" despite challenges being thrown at them by the ongoing global chip shortage and the COVID-19 pandemic, according to Reuters.
Chang added that along with their seamless efforts to improve EV value, Hyundai Motor would continue to secure its business sustainability as a "Mobility Solutions Provider" through advanced technologies both in hardware and software.
Hyundai is planning to invest a total of $79.21 billion (95.5 trillion won) through 2030 for its car business, about 20 percent of which will be allocated to its EV business. That may be a huge amount, but it still pales compared to rival Toyota's investment for electrification by 2030. The Japanese automaker has allotted $69.43 billion (8 trillion yen) for its own EV project.
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