Key facts
- Hyundai Motor plans to increase production capacity by 1.27 million units by 2030.
- The automaker aims to achieve an operating profit margin above 9% within four years.
- Over 100 new or refreshed vehicles will be launched globally by 2030, with more than half in North America.
- New models will include the Santa Fe EREV and a luxury hybrid.
- Hyundai will begin U.S. robot production in 2028 and deploy humanoid robots at its Georgia plant from 2028.
- Deliveries of IONIQ 5 vehicles to Waymo for robotaxi use will commence in Q4 2026.
Hyundai Motor announced on Wednesday a significant expansion strategy, including adding 1.27 million units of production capacity by 2030 and broadening its U.S. hybrid vehicle lineup. The South Korean automaker aims to elevate its operating profit margin to over 9% within four years, a notable increase from its previous forecast of 8%-9%. This 'product offensive' involves launching or refreshing over 100 vehicles globally by 2030, with more than half targeted for North America, including the Santa Fe extended-range electric vehicle (EREV) and a luxury hybrid model.
The company reaffirmed its 2030 sales target of 5.55 million global vehicles, aiming for a 6% market share, with electrified vehicles projected to constitute 60% of sales by then. Hyundai's CEO, Jose Munoz, expressed confidence in the group's strong fundamentals.
The U.S. expansion is partly driven by increased demand for fuel-efficient vehicles due to higher gasoline prices, with hybrid sales showing significant growth. However, Hyundai faces potential trade policy risks from the ongoing review of the U.S.-Mexico-Canada Agreement (USMCA).
Beyond vehicles, Hyundai is diversifying into robotics, autonomous driving, and robotaxis. Deliveries of its IONIQ 5 vehicles to Alphabet's Waymo for robotaxi services are set to begin in the fourth quarter of 2026. The company also plans U.S. robot production starting in 2028 and the deployment of Boston Dynamics' Atlas humanoid robot at its Georgia plant. Furthermore, Hyundai will establish a 100-megawatt AI data center by 2029 to support its advancements in software-defined vehicles and autonomous driving systems. To enhance shareholder value, Hyundai will cancel treasury shares worth approximately 789 billion won ($570 million) while maintaining a payout ratio of at least 35%. Despite these announcements, Hyundai Motor shares fell 3.3%.