Hyundai Motor Group to Invest 42 Trillion Won in the Yeongnam Region Over 10 Years, Expand Level 4 Autonomous Driving and More

[Financial News] Hyundai Motor Group plans to invest 42 trillion won in the Yeongnam Region over the next 10 years and develop the area into a global advanced industry hub for Level 4 and higher autonomous driving, AI-based autonomous vehicles, AI-driven manufacturing innovation, future aerospace and space, and energy infrastructure.
At the National Report Meeting on the Vision for Advanced Industry Development in the Yeongnam Region, held on the 3rd in Jinju, South Gyeongsang Province, Hyundai Motor Group signed a memorandum of understanding to foster advanced industries in the Yeongnam Region with government ministries including the Ministry of Economy and Finance, the Ministry of Science and ICT, the Ministry of Trade, Industry and Energy (MOTIE), and the Ministry of Planning and Budget, as well as local governments such as Busan Metropolitan City, Daegu Metropolitan City, Ulsan Metropolitan City, North Gyeongsang Province, and South Gyeongsang Province.
Along with its ongoing Saemangeum Project, Hyundai Motor Group said it will build an advanced industry ecosystem in the Yeongnam Region as well, contributing to balanced regional development and job creation.

Hyundai Motor Group will transform Hyundai Motor Company Ulsan Plant, the world's largest single automobile plant, into a key base for the future mobility industry.
The company plans to turn the Ulsan EV plant, scheduled to begin operations in the fourth quarter of this year, into an AI manufacturing hub equipped with state-of-the-art automation and an integrated production system. AI DV refers to a vehicle that learns and makes decisions on its own based on vehicle data. Hyundai Motor Group is advancing the technology to Level 4 autonomous driving and beyond, up to the level of robotaxis.
The Ulsan hydrogen fuel cell plant will be built as a strategic production base to support the expansion of hydrogen mobility and the clean energy industry.
By 2030, the group also plans to establish future key parts clusters in the Yeongnam Region, including a Hyundai Mobis Company Limited battery system assembly line in Ulsan, a Hyundai Mobis Company Limited motor and controller production line in Daegu, and a Hyundai WIA thermal management system production line for electric vehicles in Changwon, South Gyeongsang Province. It will also focus on strengthening value-chain competitiveness through investment in core electrification technologies.
It will also accelerate intelligent manufacturing innovation based on manufacturing AI technology.
The AI-based intelligent factories envisioned by Hyundai Motor Group will use AI to independently assess and optimize the entire plant, including production equipment, logistics, and quality control, creating the best possible production synergy.
The Yeongnam Region, where many of the group's major manufacturing bases are located, is regarded as the ideal place to demonstrate and spread advanced manufacturing innovation.
Accordingly, Hyundai Motor Group plans to use high-quality data accumulated over many years at its global manufacturing bases to develop manufacturing-specific AI models and build a virtuous cycle of data in which physical AI leads innovation on the industrial front lines.

Hyundai Motor Group will also expand into future aerospace mobility, ranging from urban air mobility to space launch vehicles and lunar exploration.
Supernal, Hyundai Motor Group's U.S.-based future air mobility subsidiary, plans to develop next-generation aircraft powered by electrified powertrains in the Yeongnam Region as well, laying the groundwork to lead Korea's future air mobility market.
The group also aims to advance its capabilities and promote the localization of core space technologies by developing space launch vehicle engines and building a lunar exploration rover that applies autonomous driving and AI technologies accumulated through the development of automobiles and robots.
It will also invest in stable and sustainable energy supplies, which are seen as a key factor in future industrial competitiveness. Hyundai Motor Group aims to improve energy self-sufficiency and nurture related industries as a next-generation export sector through energy infrastructure projects such as small modular reactors (SMRs), offshore wind power, and water electrolysis plants.
Vice Chairman Jaehoon Chang said, "Hyundai Motor Group will invest not only in AI-based advanced autonomous mobility and core parts manufacturing, but also in new business areas in the Yeongnam Region, the group's birthplace," adding, "Through this, we will help develop the region into a key hub for future advanced industries and contribute to strengthening Korea's industrial competitiveness."

hjkim01@fnnews.com Kim Hak-jae Reporter