November 26, 2024

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Hyundai Motor Group CEO Chang Jae-hoon (left) and LG Energy Solution CEO Kwon Young-soo shake hands after a signing ceremony at the battery maker’s headquarters in Yeouido, Seoul, on May 26. (Hyundai Motor Group)

Hyundai Motor Group and LG Energy Solution are poised to inject an additional $2 billion to build a joint electric vehicle battery manufacturing plant in the US state of Georgia, raising the total investment to more than $4.3 billion, the state government announced on Thursday local time.

According to a press release by Georgia, with this expansion, Hyundai-LG’s joint battery plant and Hyundai’s EV manufacturing plant is set to bring around $7.59 billion in investment and create 8,500 new jobs for the region over the next eight years. The extra investment for the battery production facility alone is estimated to open 400 jobs.

“This incremental investment in Bryan County reflects our continued commitment to create a more sustainable future powered by American workers,” said Jose Munoz, global chief operating officer at Hyundai Motor Company and president and CEO of Hyundai and Genesis Motor North America, in a statement.

“In collaboration with our trusted partner Hyundai Motor Group, this investment underscores our dedication to driving America’s EV transition while bolstering the local economy through the creation of quality jobs,” said Kim Dong-myung, president and head of the advanced automotive battery division of LG Energy Solution.

In May, Hyundai and LG Energy Solution signed a memorandum of understanding to set up a battery cell manufacturing joint venture for Hyundai Motor Group Metaplant America, the carmaker’s first EV plant in the US.

The battery plant’s annual production capacity is projected to be 30 gigawatt-hours, enough to make 300,000 EVs. The production facility is scheduled to complete construction by 2025.

Hyundai Mobis, the car parts manufacturer under Hyundai, will assemble battery packs using cells from the joint plant and supply them to the carmaker's US plant producing Hyundai, Kia and Genesis EVs.

By Byun Hye-jin (hyejin2@heraldcorp.com)