News Summary
Hyundai Motor Group has announced a $2.7 billion investment to expand its Georgia plant, which will increase annual production capacity to 500,000 vehicles. This expansion follows an immigration raid impacting operations, yet the automaker remains committed to its growth plans. The Georgia facility will enhance its offerings with electric and hybrid vehicles, and aims for over 80% domestic production by 2030. Governor Brian Kemp supports attracting foreign investment to help address workforce challenges. Overall, Hyundai is focusing on its strategic goal to boost total production capacity globally.
Ellabell, Georgia – Hyundai Motor Group is moving forward with its plans to expand its Georgia plant, confirming an investment of $2.7 billion. This expansion aims to enhance production capacity by an additional 200,000 vehicles within the next three years, ultimately raising the total capacity to 500,000 vehicles annually.
The announcement comes on the heels of a recent immigration raid that affected operations at the facility. Despite this setback, Hyundai is committed to its expansion efforts initially announced in March 2025. The raid conducted by U.S. Immigration and Customs Enforcement (ICE) led to the arrest of over 300 South Korean citizens, part of a larger detainment of 475 workers, which raised concerns regarding South Korea’s investment in the United States.
In alignment with its expansion plans, Hyundai has pledged an additional investment of $5 billion across the United States. The newly expanded Georgia plant is set to produce a diverse lineup of 10 models of electric and hybrid vehicles, an increase from the current two models available. This move is part of Hyundai’s larger objective to raise global production capacity to 5.6 million vehicles annually by 2030, with ambitions for 60% of those to be electric or hybrid-powered.
Furthermore, the automaker is committed to manufacturing over 80% of the vehicles sold in the U.S. domestically by 2030, with plans to increase domestic content from 60% to 80%. Significantly, the new lineup will include a mid-sized pickup truck, thus expanding beyond the existing Santa Cruz model.
CEO José Muñoz acknowledged that the immigration raid might delay the opening of the electric vehicle battery plant by two to three months, with a revised opening targeted for the first half of 2026. Hyundai executives, in conjunction with Georgia government officials, are actively working to manage the fallout from the raid amid existing diplomatic tensions between South Korea and the United States.
Georgia Governor Brian Kemp has expressed confidence in the state’s capability to attract foreign investment, suggesting that the situation might facilitate visa permissions for South Korean employees. The Ellabell site currently employs 3,129 workers, with plans to hire at least 8,500 additional employees by 2031 as part of Hyundai’s long-term workforce strategy.
This expansion brings Hyundai’s overall investment commitments in Georgia to $10.3 billion, not accounting for the $4.3 billion set aside for their joint venture with LG Energy Solution for the battery plant. The tax incentives offered by state and local governments related to this investment total $2.1 billion.
Additionally, the increase in production capacity at the Ellabell facility represents a significant component of Hyundai’s global strategy to boost total production capacity by 1.2 million vehicles per year. Capabilities will also be augmented in other manufacturing locations, including Pune, India, and Ulsan, South Korea.
Hyundai’s future strategies also include investments in robotics and plans to launch extended-range electric vehicles by 2027, featuring new gasoline motors designed to provide an extended range of over 600 miles (960 kilometers).
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