October 24, 2022 – TheNewswire - South Korea's Hyundai Motor has announced plans to break ground on a $5.5 billion electric vehicle and battery plant in the United States. The company plans to begin commercial production at the new facility by the first half of 2025 with an annual capacity of 300,000 units.
The plant is expected to employ more than 8,000 people and will be located 30 minutes west of Savannah, Georgia. The factory will produce the Hyundai Ioniq 7 and Kia EV9, two large SUVs underpinned by the automaker’s E-GMP platform that will come with three rows of seating.
“The future of transportation is in the Peach State as we announce the largest project in our state’s history – delivering high-quality jobs on the leading edge of mobility to hardworking Georgians,” said Governor Brian Kemp. “Not only are we thrilled to welcome Hyundai to Georgia’s coastal region, but it’s incredible that within a year of Georgia’s investment in the Bryan County Megasite, we are locating a world-class project here with a company with great Georgia history.”
The Inflation Reduction Act, signed by Biden in August, requires electric vehicles to be assembled in North America to qualify for tax credits in the United States. The new law made about 70% of EVs immediately ineligible for the tax credits of up to $7,500 per vehicle.
The news comes on the heels of Honda's recent announcement that it will build a $4.4 billion battery plant in Ohio with joint venture partner LG Energy.
The two companies plan to begin construction in early 2023, in order to complete the new production facility by the end of 2024. The plant aims to have approximately 40GWh of annual production capacity as it starts mass production of pouch-type lithium-ion batteries by the end of 2025.
This JV is part of a mid- to long-term strategy to focus on North America, which represents the fastest growing electric vehicle market. The companies also have plans to further expand production capacity in the region, as well as reinforce its local supply chain for key critical minerals.
“In another major step toward electrification, LG Energy Solution’s innovative battery technologies will not only power Honda’s brand-new EV models but support Ohio’s green economy. We extend our gratitude to everyone who played a role in making this happen,” said Dong-Myung Kim, Executive Vice President of Advanced Automotive Battery Division at LG Energy Solution. “With our commitment to building the world-best quality products, together with Honda, we look forward to not only creating thousands of quality jobs here in Ohio, but growing together with the community.”
As part of its goal to achieve carbon neutrality for all products and corporate activities by 2050, Honda announced a vision to make battery-electric and fuel cell electric vehicles represent 100% of its vehicle sales by 2040.
This content is not financial advice and is for information, education and entertainment purposes only. Green Stock News is not responsible for any losses related to the financial decisions made by you. Video content and other materials including web content are based on data obtained from sources we believe to be reliable but are not guaranteed as to accuracy and are not purported to be complete. As such, the information should not be construed as advice designed to meet the particular investment needs of any investor. Green Stock News is not responsible for any gains or losses that result from the opinions expressed in this video or materials that it publishes electronically.
View original video news clips here: https://greenstocknews.com/green-stock-newswire
Copyright (c) 2022 TheNewswire - All rights reserved.