Hyundai unveils record $85.8bn plan to boost AI, mobility sector

November 17, 2025 / 12:31 PM

Sharjah24-AFP: Hyundai Motor Group has announced a historic $85.8 billion investment to be carried out in South Korea over the next five years. The company described it as its largest domestic commitment yet, aimed at enhancing technological innovation and reinforcing the country’s industrial foundation.

Approximately 40 per cent of the investment will fund the development of AI, robotics, software-defined vehicles, electrification, and hydrogen solutions. Hyundai states that the strategy demonstrates its preparedness to respond to rapidly changing global industry demands while supporting South Korea’s AI and robotics ecosystem.

Export growth expectations

The group anticipates that the investment will boost exports of South Korea-made vehicles by 13 per cent, reaching 2.47 million units by 2030. Hyundai, together with Kia, sold over 7.2 million vehicles globally last year.

Context of wider industry momentum

The announcement follows Samsung Group’s commitment to invest $310 billion, primarily in AI technologies, during the same time frame. It also comes after a new Seoul–Washington trade agreement that reduces tariffs on South Korean exports to 15 per cent, down from 25 per cent but still above the previous 2.5 per cent rate.