Korean carmaker sets sights on securing seven per cent of global EV market by the end of the decade

Hyundai has become the latest carmaker to accelerate its electric vehicle (EV) ambitions, yesterday unveiling fresh plans to add another 17 new battery car models to its line up by the end of the decade, backed by £12bn of investment.

The South Korean firm said it aimed to sell 1.87 million electric vehicles each year by 2030 under the new strategy in a bid to secure an overall seven per cent share of the global EV market and a 10 per cent operating profit margin on its battery car business.

In order to capture efficiencies and cut down on production costs, Hyundai plans to invest in further EV manufacturing capacity in high-demand regions, as well as lithium-ion battery and software development, and is considering adding at least one new dedicated EV factory to its portfolio, it said.

The announcement forms part of a wider £59bn ‘future business’ investment strategy, which was unveiled yesterday by the firm’s president and CEO Jaehoon Chang.

“Hyundai is successfully accelerating its transition to electrification and becoming a global leader in EVs despite a challenging business environment caused by the global chip shortage and ongoing pandemic,” Chang said. “Along with our seamless efforts to improve EV value, Hyundai Motor will continue to secure its business sustainability as a ‘Mobility Solutions Provider’ through advanced technologies of not only hardware but also software.”

The firm’s expanded battery EV line-up will include 11 new models carrying the Hyundai brand by the end of the decade, including three sedans, six SUVs, one light commercial vehicle as well as “one type new model”.

Hyundai said it planned to launch the latest version of its flagship EV – the Ioniq 6 – this year, followed by the Ioniq 7 in 2024.

Over the same period, it also plans to add six new models under its luxury Genesis brand, including two passenger cars and four SUVs. From 2025, all new Genesis models will be electric, it said.

Hyundai’s expanded line-up is to be bolstered by increased investment in EV manufacturing capacity and battery research and development, led by its innovation centre in Singapore, in order to achieve “dramatic innovation in production efficiency through a flexible production system, advanced level automation and digital twin technology”.

It said it would aim to gradually expand its EV factories beyond existing facilities in Korea and the Czech Republic, starting with the opening of a new plant in Indonesia later this year.

Hyundai said it had secured sufficient battery supplies to meet its sales targets by 2023, but that it would aim to continue its cooperation with various suppliers in order to secure 170GWh of batteries for its models by 2030.

It comes just a day after US automotive giant Ford announced plans to split its business into two, separating its EV business from its fossil fuel car business in order to help it accelerate its zero emission vehicle strategy. Ford said it aimed to produce more than two million EVs by 2026 and generate around half of its sales from battery cars by the end of the decade.

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