Hyundai Motor Company Stock: Shares Surge After US Investment Plan

Hyundai Motor Company's stock experienced a remarkable surge on Tuesday, climbing as much as 7.5% to 229,000 won in Seoul trading following the announcement of a massive $21 billion investment plan for the US market. The South Korean automaker's shares significantly contributed to a 0.3% rise in the KOSPI index as investors responded positively to the strategic expansion initiative unveiled alongside US President Donald Trump. The investment package, designed to strengthen Hyundai's position in the crucial North American market, includes allocating $9 billion through 2028 to expand US manufacturing capacity to 1.2 million vehicles annually across the Hyundai, Kia, and Genesis brands. This substantial commitment builds upon the approximately $20.5 billion Hyundai has invested since entering the American market in 1986.

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A standout element of the plan includes Hyundai Steel's $5.8 billion investment to construct a new steel plant in Louisiana capable of producing 2.7 million tons of low-carbon steel annually while creating 1,400 jobs. An additional $6 billion will strengthen localization of automotive components, including critical parts for electric vehicles such as battery packs, while another $6 billion is earmarked for innovation partnerships with US companies in autonomous driving, robotics, artificial intelligence, and advanced air mobility. The comprehensive investment strategy is expected to create 14,000 direct full-time positions by 2028, with a total impact of over 100,000 direct and indirect jobs. Market analysts view this initiative as a strategic move to mitigate potential trade policy risks while solidifying Hyundai's competitive position in North America.