The Hyundai Motor stated it prepares to raise U.S. investment by 50% to $3.1 billion over 5 years and might develop a new plant there – the latest automaker to reveal fresh costs after President-elect Donald Trump talked about tax imports.
Under pressure to provide on campaign promises to restore U.S. industrial jobs, Trump has cautioned of a 35 percent tax on automobiles imported from Mexico, where lots of car manufacturers have made the most of the nation’s lower labor expenses.
Toyota Motor, Ford Motor, General Motors and Fiat Chrysler have just recently revealed new U.S. financial investment strategies.
Hyundai Motor and Kia Motors, making up the Hyundai Motor Group have not been targeted by Trump however they might have felt susceptible since amongst significant brands, they have among the most affordable ratios of cars integrated in the United States to automobiles sold.
Chung Jin-haeng, president of the group, rejected the strategy was because of push from Trump, including that a new U.S. factory would depend upon whether demand enhanced under the next U.S. administration.
“We need to be devoted to the United States market – a tactically essential market which can make or break our international success,” he informed press reporters in Seoul.
The South Korean group plans the U.S. investment of $3.1 billion to retool present factories country and increase research on self-driving vehicles, artificial intelligence and other future technologies, Chung stated.
He stated the group is thinking about a new U.S. factory to develop high-margin, high-demand designs such as a U.S.-specific sport utility vehicle and a Genesis premium vehicle. That would begin top of Hyundai’s factory in Montgomery, Alabama, and a Kia plant located in West Point, Georgia.
