Reinvesting For The Future
American car production has always been an important part of competing in the local automotive market. Any car maker that wants to be taken seriously and sell in decent numbers needs a manufacturing plant, which is why most major brands have multiple facilities scattered across the U.S.
The Trump administration has been pushing its agenda to ensure that American jobs are safe and increase. As part of the government’s plan, it aims to ensure America keeps building cars, and we’re seeing carmakers respond with new or refreshed plants to protect the manufacturing future.
Hyundai
Hyundai’s $500 Million Alabama Expansion
Hyundai’s U.S. base is in Montgomery, Alabama, with a 2 million square foot footprint and the capacity to produce 400,000 cars and 700,000 engines annually. Yet the South Korean manufacturer just announced it wants to expand the Alabama plant with a sizable $500 million investment. The new investment will “support future vehicle production, expand engine manufacturing capabilities, and advance next-generation propulsion technologies at the Montgomery manufacturing facility.”
The fresh capital injection will bring Hyundai’s total investment in Alabama to a respectable $2.2 billion since it began operations in 2005. Hyundai isn’t done yet, with plans to bring its investment in the U.S. to $2.6 billion between 2025 and 2028, as Hyundai Motor Company President and CEO José Muñoz announced. Mark Rader, president and CEO of Hyundai Motor Manufacturing Alabama, said the new investment will ensure HMMA remains a cornerstone of Hyundai’s North American manufacturing operations for years to come.
Hyundai
New Cars and New Engines
In essence, the new investment will retool the Alabama plant to support production of Extended Range Electric Vehicle (EREV) technology and the new Tucson and refreshed Santa Fe models. These two cars are important for the Hyundai brand in the U.S., with the Tucson remaining their best-selling model and the Santa Fe close behind. According to the Hyundai U.S. group, the all-new Tucson is set to begin production before the year closes out.
Hyundai’s EREV technology is set to usher in a new era for the brand. The EREV tech that Hyundai will develop and build promises to be different from the current crop of range-extending powertrains. Hyundai’s EREV aims to be more compact, lighter, and more energy-efficient.
Hyundai
