Montgomery, Alabama – South Korean automotive giant Hyundai has recently announced a groundbreaking $21 billion investment in the United States. This move comes as the company aims to shield itself from potential tariffs imposed by political figures such as former President Donald Trump. In an effort to bolster its American operations, Hyundai plans to inject $9 billion by the year 2028, generating 14,000 new full-time jobs to increase US production capacity to 1.2 million vehicles. Additionally, the company is allocating $6 billion to enhance collaborations with American firms in cutting-edge fields such as autonomous driving, robotics, artificial intelligence, and advanced air mobility.
One significant component of this investment includes the construction of a new $5.8 billion Hyundai Steel plant in Louisiana, projected to yield over 2.7 million metric tonnes of steel annually and result in the creation of more than 1,400 jobs. The steel produced at this facility is anticipated to supply other auto plants located in Alabama and Georgia. Hyundai is excited to inaugurate its new $7.59 billion car and battery factory in Georgia, with plans to further expand its presence in the American automotive market.
Former President Trump praised Hyundai’s decision, referring to it as a substantial $5.8 billion investment in American manufacturing. Trump’s stance on implementing reciprocal tariffs on various countries has potentially influenced South Korea due to its significant trade surplus with the United States. The president firmly believes in the effectiveness of tariffs, stating that additional levies on cars may be declared in the near future. Amidst concerns over tariff policies, car manufacturers have been actively engaging with the White House to prevent extensive tariffs on imported vehicles and components.
Louisiana Governor Jeff Landry journeyed to South Korea to engage with Hyundai officials regarding the investment strategy, fostering stronger economic ties between the two regions. In another significant move, Hyundai has committed to purchasing $3 billion worth of liquefied natural gas produced within the United States. The company’s decision to expand its investments in the US demonstrates a vote of confidence in the country’s economic stability and growth potential. With numerous companies unveiling investment plans following political developments, Hyundai’s forward-looking investment strategy showcases its commitment to long-term success in the American market.
