Hyundai has announced that it is building an EV plant in the United States. The new facility will build electric vehicles exclusively. The company plans to start manufacturing EVs in 2025 and is planning to invest $5.5 billion in the project. The investment will come from both the automaker and suppliers, which will put in an additional $1 billion.
The new factory will manufacture six different models by 2028. The automaker also plans to restart hiring new production workers for EV production. If things go well, the company could double its capacity, enabling it to produce as many as 500,000 units a year. In 2025, Hyundai is expected to start production of the all-electric Hyundai Ioniq 7 and a Kia EV pickup. The Korean automaker also plans to produce EVs for its Genesis brand in 2028.
The Korean company Rivian also plans to establish an EV manufacturing plant in Georgia. The new plant is slated to employ more than 7,000 workers and will produce 400,000 EVs. The new plant will also house battery production facilities. Hyundai’s policy is to produce electric vehicles in the United States.
Although the new legislation is controversial, it’s good news for EV manufacturers. It will boost domestic production of EVs and help boost the economy. The tax credits for electric vehicles will be worth up to $7,500, and will encourage domestic EV manufacturing. The automakers aren’t the only ones voicing concern about the new legislation, however. Hyundai says that the changes will spur EV production and create jobs in the U.S.
The automaker expects to break ground on its new EV plant in Georgia next year. It also plans to build a battery manufacturing facility in Bryan County, Georgia, for another $3 billion investment. The new factory will be the first fully electric vehicle manufacturing plant in the United States. It’s expected to have a production capacity of 300,000 vehicles per year. The company plans to announce details of the battery manufacturing facility later this year.
The Georgia plant will produce battery packs for the Hyundai electric vehicles. The company plans to establish a thriving EV ecosystem in the U.S. through this partnership. The facility will be located on a 2,923-acre site near Interstates 16 and 95. The state’s location is ideal for this project, which will support the expansion of the company’s production in the United States.
The new EV plant is a welcome addition to Alabama’s growing automotive manufacturing cluster. The plant will produce the all-electric Genesis GV70 luxury SUV and the hybrid electric Santa Fe SUV. The new investment by Hyundai Mobis will boost the community’s economy and create jobs. This type of collaboration is the basis of economic growth and partnership.
The incentives that the state is providing to the new EV plant are substantial. It is estimated that the state will provide nearly $1.5 billion in tax breaks for the factory, which is expected to create 7,500 jobs and produce 400,000 electric vehicles annually.