Hyundai to Invest $21 Billion in the U.S. to Expand Auto and Steel Production
South Korean automaker Hyundai has announced a major investment plan in the United States totaling $21 billion over the next few years. The move aims to significantly boost Hyundai’s local production capacity and, at the same time, navigate around potential trade tensions, such as those previously stirred by former President Donald Trump’s tariff policies.
Speaking at a press conference alongside Trump, Hyundai Executive Chair Euisun Chung highlighted the company’s long-standing commitment to the American market. Since entering the U.S. in 1986, Hyundai has already invested $20 billion. Now, the automaker is doubling down on that commitment with new projects in manufacturing and technology.
$5.8 Billion Steel Plant and Major Auto Production Expansion
One of the key projects in Hyundai’s U.S. investment plan is the construction of a $5.8 billion steel factory in Louisiana. According to Trump, this plant will allow Hyundai to produce steel locally, which helps the company avoid paying import tariffs and strengthen its vertical integration in the U.S. market.
Additionally, Hyundai is set to invest approximately $9 billion to increase its annual vehicle production across its three main brands—Hyundai, Kia, and Genesis—to 1.2 million units. This expansion will not only enhance the company’s footprint in the U.S. but also create thousands of new jobs and improve supply chain efficiency.
Trump described the investment as a strong indication that his previous tariff measures had influenced international companies to produce more in the United States. “Hyundai will make its steel in America and manufacture its vehicles in America, so they won’t have to pay tariffs,” he stated.
Billions Earmarked for Tech Partnerships and Innovation
Beyond traditional manufacturing, Hyundai is also allocating $6 billion toward partnerships with American technology companies. This funding will support development in cutting-edge sectors such as autonomous driving, robotics, artificial intelligence, and urban air mobility, including the development of flying taxis.
This strategic move aligns with the company’s vision to evolve from a traditional automaker into a future-forward mobility provider. Hyundai aims to stay at the forefront of innovation while strengthening its role in the U.S. tech ecosystem.
New $8 Billion Factory in Georgia
Hyundai’s latest venture in Georgia marks a significant milestone. According to Chung, the company is proud to open a new vehicle production facility in the state, which represents an $8 billion investment. The plant is expected to push Hyundai’s U.S. manufacturing capacity beyond one million vehicles per year.
The Georgia factory will focus on producing electric vehicles, reflecting the company’s broader commitment to sustainable mobility and cleaner energy. This facility will also contribute to building a more resilient and localized supply chain for Hyundai’s North American operations.
Strengthening Presence in Alabama and Georgia
Alongside its new projects, Hyundai also plans to upgrade its existing production plants in Alabama and Georgia. These improvements will help the company keep pace with rising demand in the American market and support future innovations in both conventional and electric vehicle manufacturing.
Hyundai’s comprehensive investment strategy demonstrates not only a response to changing global trade dynamics but also a deepening partnership with the U.S. economy. With billions directed toward infrastructure, innovation, and job creation, the automaker is positioning itself as a long-term player in the future of American mobility.