Hyundai, the South Korean automotive giant, is set to unveil a substantial $20 billion investment aimed at enhancing its manufacturing presence in the United States. This announcement will be made during a ceremony at the White House, featuring President Donald Trump, Hyundai Chairman Euisun Chung, and Louisiana Governor Jeff Landry. A key component of this investment is a $5 billion steel plant located in Louisiana, which is projected to create approximately 1,500 jobs. This facility will focus on producing advanced steel materials intended for use in Hyundai's two existing U.S. automotive plants, which manufacture electric vehicles.
Many global companies, including Taiwan Semiconductor Manufacturing Co. and SoftBank, have recently announced similar commitments to bolster their manufacturing capabilities in the U.S. amid concerns over tariffs. Hyundai's CEO, José Muñoz, emphasized the strategic importance of this investment for navigating potential trade barriers, stating that enhancing localization is crucial for the company's operations in America.
Hyundai's existing manufacturing footprint includes two major plants in Alabama and Georgia, with plans for a third facility in Georgia also expected to be announced. This investment reflects a broader trend among automakers to shift production closer to their primary markets, particularly in the face of rising tariffs on imported goods.