Hyundai Motor is reconsidering its strategy of exclusively manufacturing all-electric vehicles at its upcoming plant in Georgia, according to an executive speaking with CNBC on Wednesday.
José Muñoz, Hyundai’s president and global chief operating officer, indicated that the company is assessing the possibility of producing hybrid or plug-in hybrid electric vehicles alongside all-electric ones at the $7.59 billion facility.
“We are currently preparing for a surge in electric vehicles and then examining whether additional technologies should be incorporated into the plan based on market evaluation,” Muñoz stated during the New York International Auto Show.
This reevaluation comes amidst slower-than-expected adoption of EVs and revisions by the Biden administration to emissions regulations, which now consider hybrid and plug-in hybrid electric vehicles more prominently alongside all-electric vehicles.
Hyundai’s investment in Georgia totals $12.6 billion, encompassing the establishment of the new Hyundai Motor Group Metaplant America site in Bryan County and battery manufacturing ventures with South Korean companies LG Energy Solution and SK On, which will operate as a separate facility.
Muñoz affirmed Hyundai’s dedication to electric vehicles (EVs) while acknowledging that hybrids and plug-in hybrid vehicles might better suit certain consumers.
“Everything is on the table,” Muñoz remarked. “We will adapt to market demand, and currently, we are aligned with what regulators are requiring.”
On Wednesday, Hyundai revealed an updated Tucson crossover available with traditional gas engines, hybrid, and plug-in hybrid electric options.
“I consider the plug-in hybrid electric vehicle (PHEV) to be a crucial strategic focus for us. We’ve been at the forefront of PHEV technology, and we aim to capitalize on that,” Muñoz emphasized.
“However, hybrids are also significant. Our hybrid production is expanding, driven by high demand. Therefore, you can expect to see a growing presence of hybrids within Hyundai’s lineup.”
