Hyundai reveals strategy to rank among the world’s top three electric vehicle manufacturers by 2030

Image Credit: Hyundai

Hyundai Motor Company, a South Korean automaker, is committed to becoming one of the top three electric vehicles (EV) manufacturers worldwide by 2030. In order to achieve this goal, the company is making significant investments in research and development, constructing new plants and platforms, expanding its EV lines, and increasing its production capacity.

Hyundai Motor Company’s CEO Jaehoon Chang has revealed that the company is currently working on two additional platforms, which will allow them to offer 18 electric vehicle models by 2030. The company is aiming to sell around 2 million EVs annually by that same year. These statements were made during an interview with CNBC’s Chery Kang.

Hyundai’s dedicated electric vehicle platform, the Electric Global Modular Platform (E-GMP), is being used to develop their current lineup of EVs. The E-GMP was first employed for the 2021 Ioniq 5 crossover SUV, which was the debut model for Hyundai’s Ioniq sub-brand focused on EVs. The Ioniq 6 sedan followed in 2022. By utilizing the E-GMP, Hyundai can increase production of upcoming models while also reducing development and manufacturing expenses.

Chang emphasized the significance of having a specific platform for electric vehicles, stating that their own platform, the E-GMP, is crucial in ensuring superior performance, dependability, and convenience. According to Chang, this platform is a potent facilitator for future developments.

Hyundai has announced their intention to launch new vehicles in 2025 that will utilize two recently introduced electric vehicle platforms: eM and eS. These platforms are projected to enhance vehicle development efficiency and deliver substantial cost savings.

According to SNE Research, Hyundai Motor Group, which comprises the brands Hyundai, Kia, and Genesis, secured the sixth position in the global EV sales ranking for 2022. The group sold 510,000 EV units, marking a 40.9% increase from the previous year. BYD from China secured the top spot by delivering 1.87 million units, followed by Tesla with 1.31 million units. Germany’s Volkswagen and China’s Geely secured the fourth and fifth spots, respectively.

Chang stated that over the past three years, their EBIT has grown at a rate of 50% annually, mainly due to the popularity of their products, notably the Ioniq 5 and Ioniq 6, which have received positive feedback from customers. According to Chang, they can sustain this progress as they have another EV model, the Ioniq 7, a three-row SUV, scheduled for release next year. This is their short-term plan.

Recent data released by automakers reveal that Hyundai Motor Group has quietly risen to become the third-largest automaker in the world in terms of sales in 2022, closely following Toyota and Volkswagen. Hyundai and Kia combined, sold 6.85 million vehicles worldwide last year, marking a 2.7% increase from the previous year. Toyota sold nearly 10.5 million units, while Volkswagen sold about 8.26 million units.

Chang reported that Hyundai recorded an impressive 92% year-on-year net profit increase for the first quarter of 2023, mainly attributed to sales in the United States and Europe.