Hyundai outlined a record investment plan worth 85.8 billion dollars to be deployed in South Korea over the next five years, describing it as the company’s largest-ever domestic commitment.
The pledge comes shortly after Seoul secured a new trade deal with Washington that reduces, but does not eliminate, tariffs on South Korean vehicle exports to the United States.
In a press statement, Hyundai said a major share of the investment will go into new business lines built on advanced artificial intelligence technologies, including robotics.
The company said these efforts are intended to strengthen the country’s innovation ecosystem in AI and robotics while accelerating Hyundai’s transition into the next era of mobility.
The investment roadmap, it added, reflects the Group’s ability to respond to a rapidly changing global business environment marked by electrification, automation, and intensified competition in next-generation technologies.
Hyundai expects the investment boost to support an increase in South Korea-made vehicle exports by 13%, reaching about 2.47 million units by 2030. The company, which owns Kia, sold more than 7.2 million vehicles worldwide last year.
The announcement follows a similar long-term commitment by Samsung Group, which recently pledged 310 billion dollars in investment, focusing largely on AI.
Samsung Electronics, the conglomerate’s flagship firm, is one of the world’s leading memory-chip producers, supplying key components that underpin AI development and data infrastructure globally.
Hyundai’s investment comes in the context of the newly concluded bilateral trade deal between Seoul and Washington. Under the agreement, tariffs on South Korean exports, including Hyundai vehicles, will be reduced to 15% from the previous 25%.
Although improved, the new rate remains considerably higher than the 2.5% tariff that applied under the earlier free trade agreement, adding pressure on South Korean manufacturers to enhance competitiveness through innovation and domestic capability building.
The Hyundai Motor Group said the investment plan is designed to scale advanced technology development and to reinforce long-term industrial growth, as well as workforce expansion in South Korea.
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