Hyundai Motor Group, African Development Bank Join Forces to Build Clean-Energy and EV Value Chains

[Financial News] Hyundai Motor Group has chosen the African Development Bank (AfDB) as a partner to jointly lead Africa’s energy transition and industrialization.
On the 9th, Hyundai Motor Group announced that it had signed an “LOI for cooperation on Africa’s industrialization, transportation infrastructure development, clean-energy transition, and other desirable areas of future growth” with AfDB at its Yangjae headquarters in Seocho-gu, Seoul, on the 8th. AfDB is Africa’s largest multilateral development finance institution. It provides development finance, attracts investment, and develops projects to support sustainable economic growth and industrialization across the continent.
The signing ceremony was attended by Hyundai Motor Group Vice Chairman Jang Jae-hoon, Hyundai Engineering President Joo Woo-jung, Hyundai Capital Services President Jung Hyung-jin, Kim Heung-soo, vice president of Hyundai Motor and Kia’s Global Strategy Office (GSO), Kim Il-beom, chief innovation officer and vice president, and Shin Yong-seok, vice president of the HMG Management Research Institute, along with other officials responsible for Africa-related operations.
Representing AfDB in place of President Sidi Ould Tah were Kevin Chika Urama, chief economist and vice president, and Max Magor Ndiaye, senior director of co-financing, syndications, and client solutions, among other delegation members. The AfDB delegation visited Seoul to attend the 8th Korea-Africa Ministerial Economic Cooperation Conference (KOAFEC), held from the 8th to the 11th.
Vice Chairman Jang Jae-hoon said, “This cooperation marks the starting point of a long-term partnership to support Africa’s energy transition and strengthen its industrial competitiveness.” He added, “Because establishing an integrated financing package that links policy finance with private capital and secures investment stability is essential to the stable implementation and successful commercialization of key projects in Africa, we will continue expanding our cooperation with AfDB.”
The core of the partnership is to combine Hyundai Motor Group’s technological and business capabilities in mobility, energy, infrastructure, and industrialization with AfDB’s expertise in development finance, investment attraction, and business development. Based on these capabilities, the two sides plan to identify promising projects and growth opportunities in Africa and develop specific areas of cooperation and implementation plans.
The cooperation will focus on six areas: the transition to clean energy based on renewable sources, including green hydrogen; the development of sustainable mobility solutions across Africa; transport and logistics infrastructure, including roads, railways, and ports; the development of an electric-vehicle value chain using critical mineral resources; the strengthening of industrialization and manufacturing capabilities; and the training of talent to lead future mobility and energy industries.
After the signing ceremony, the AfDB delegation exchanged views with Hyundai Motor Group on Africa’s development finance environment and major industrial challenges and discussed mid- to long-term cooperation plans. The delegation then toured the lobby of the Yangjae headquarters and viewed Hyundai Motor Group’s future mobility technologies, including an inspection robot, security robots, delivery robots, and a demonstration of MobED (Mobile Eccentric Droid).
Kevin Chika Urama, vice president of AfDB, said, “The experience Hyundai Motor Group has accumulated, the technologies it has developed, and its vision for the future are closely aligned with the African Development Bank’s vision of transforming Africa’s potential into shared prosperity for all of us.” He added, “Hyundai Motor Group is an important strategic partner for AfDB.”

[email protected] Kim Dong-chan Reporter