Hyundai Motor Group Chairman Chung Eui-sun visited Hyundai Motor Czech Republic (HMMC) to inspect the status of its European operations and explore future growth strategies.
Hyundai Motor Group announced on the 22nd that Chairman Chung visited Hyundai Motor Czech Republic Plant (HMMC) near Ostrava, Czech Republic on the 19th (local time), toured the production facilities, and gave Chuseok greetings and encouragement to employees.
Chairman Chung Eui-sun speaks with local employees at the Hyundai Mobis Battery Systems (BSA) plant located within Hyundai Motor Company’s Czech plant. Courtesy of Hyundai Motor Group
In particular, Chairman Chung discussed with local employees a strategy to overcome the stagnant demand for automobiles in Europe and a full-fledged growth strategy for the era of electrification, Hyundai Motor Group reported. Hyundai Motor’s Czech plant is Hyundai Motor Group’s only electric vehicle (EV) production base in Europe.
According to the European Automobile Manufacturers’ Association (ACEA), Europe, the world’s largest eco-friendly car market and the second largest electric car market, recorded 7,906,916 units in automobile industry demand from January to July this year, up 3.9% from the same period last year. This figure is less than a third of the 12.7% growth rate for 2023 compared to 2022.
During the same period, demand for electric vehicles also increased by only 0.6% compared to the same period last year, reaching 1,093,808 units.
Chairman Chung Eui-sun inspects the production line with local executives and staff at the Hyundai Motor Czech plant. From left, front row: HMMC Corporation President Lee Chang-ki, Chairman Chung Eui-sun, and HMMC Production Manager Martin Klitschnik. Courtesy of Hyundai Motor Group
Chairman Chung said during a meal with employees that day, “The Czech plant is a key base for future investment in eco-friendly mobility vision and technology, and plays a very important role in the continued success of Hyundai Motor Group,” and promised, “We will spare no effort in supporting investments in quality and safety.”
He added, “Although we are experiencing difficulties due to the tectonic shift in the electric vehicle market, we will further strengthen our efforts for innovation and growth.”
Hyundai Motor Group, taking advantage of Chairman Chung’s visit to the Czech Republic, once again revealed its local European strategy to achieve its ultimate goal of becoming the “first mover in electrification.”
First, the group will pursue a mid- to long-term strategy to enhance its electrification capabilities by forming a European-tailored product mix across its entire lineup, including internal combustion engine vehicles, hybrid vehicles, and electric vehicles, to flexibly respond to the local market.
Chairman Chung Eui-sun having lunch with local employees working at Hyundai Motor Company’s Czech plant and European region. Courtesy of Hyundai Motor Group
As part of the strategy, Hyundai Motor will make up for the sales gap caused by the slowdown in demand for electric vehicles by introducing hybrid models of sports utility vehicles (SUVs), such as the Tucson Hybrid. It will also quickly move toward electrification by introducing the second-generation Kona Electric produced in the Czech Republic, the Ioniq 5 exported from Korea, and the Casper Electric, which will be released in Europe in the second half of this year.
Kia will add an improved EV6 product model and a new EV9 trim in Europe, and will introduce the EV3 for the first time overseas in the second half of this year.
In addition, special editions of hybrid and plug-in hybrid models of main models are operated.
Hyundai Motor Group Chairman Chung Eui-sun (center) takes a commemorative photo with Hyundai Motor Company Czech plant and local employees working in Europe. Courtesy of Hyundai Motor Group
Hyundai and Kia are responding flexibly to the pace of electrification in the European market.
Hyundai Motor will gradually expand the introduction of locally produced EVs to meet European industrial demand. Kia will establish an electric vehicle production system at Autoland Slovakia, aiming for operation in the second half of 2025. It will also enter the European light commercial vehicle (LCV) market with purpose-built mobility (PBV).
Hyundai Motor Company and Kia Motors Corporation are also pursuing a growth strategy that can flexibly respond to the trend of adjusting the speed of electrification in the European market. They are also actively expanding the infrastructure of the Hyundai Motor Europe Technology Center (HMETC), one of the global core R&D hubs.
Reporter Kim Ki-hwan kkh@segye.com
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Source: www.segye.com
