As we close the year it’s helpful to reflect on 2023 and important to look forward to opportunities in the new year.
There are too many milestones and initiatives this past year to mention them all, but some of the highlights include:
Results: Hyundai Motor America is on track to end 2023 with record sales. Hyundai Motor Group became the third largest automaker in the world by sales.¹ Representing 25% of global sales, North America is Hyundai Motor Company’s single biggest market. Here in the U.S., the retail plan we outlined five years ago is working. In 2018, the combined market share for Hyundai was 3.8%. In 2022, it nearly doubled to 6.4%. Hyundai has risen to 5th place from 8th in retail sales in only the last four years.² Congratulations to the team and our outstanding retail partners.
Investments in manufacturing and in America: Hyundai Motor Group is investing $12.6 billion and is expected to hire 12,000 people to operate an all-EV Metaplant in Savannah, Georgia as well as two battery joint ventures. We’re also investing $290 million in Hyundai Motor Manufacturing in Alabama to assemble the all-new SANTA FE and other SUVs.
This year the Center for Automotive Research published a study showing Hyundai and our retail partners were responsible for creating 190,000 jobs in America with more than $20 billion in economic impact every year. Our new investments are expected to create more than 50,000 well-paying jobs in this country.
Hyundai is a Korean-American company realizing its own American Dream and also helping tens of thousands of Americans achieve theirs as well.
Product Leadership: From design and R&D, to manufacturing, the company is delivering beautifully designed, high-quality, safety-focused and fuel-efficient vehicles that customers want and value. Among many accolades, the IONIQ 6 won an unprecedented three prestigious World Car of the Year awards. I offer the following with sincere humility, knowing how competitive this industry and the awards judging can be: we need a bigger trophy case. And that’s just for 2023.
Genesis: Our luxury brand continues to grow and perform. Global cumulative sales totaled 1 million in September, and in the U.S. the brand has surpassed last year’s volume record and has already achieved more than 60,000 sales for the first time. Retailers are opening standalone facilities at a fast clip and our designers are breaking new ground with stunning vehicles like the new GV80 Coupe (arriving at retailers in 2024) and the exquisite Genesis X Gran Berlinetta Vision GT concept.
Doubling Down on EVs: Hyundai EV sales are up 100% in 2023 (through November), despite the unfair exclusion from the IRA EV incentives, and electrified total sales, encompassing EV, hybrid, plug-in hybrid and fuel cell, are experiencing a 61% uptick for the same period. HMC plans to introduce 17 BEVs by 2030: 11 for Hyundai and 6 for Genesis, targeting 7% of the global EV market by 2030. In the U.S. Hyundai, Genesis and KIA’s combined EV sales are second to only Tesla. Customers are right to be concerned with lack of charging infrastructure which is why we are partnering with six other OEMs to grow the charging network in the U.S., expanding Hyundai Home charging and introducing the North American Charging Standard (NACS) on Hyundai models beginning in Q4 2024.
Reimagining Retail: Hyundai announced a partnership with Amazon so Hyundai dealers in the U.S. will be able to sell vehicles in Amazon’s online store. Partnering with one of the world’s most customer-centric organizations unlocks incredible opportunities as we continue to expand our portfolio, grow our sales network, transition to electrification and realize the future of sustainable mobility. This partnership will help our business be more efficient through AWS, introduce Alexa into our vehicles and together with our retail partners improve the customer journey.
The more success Hyundai has, the more valuable retailer dealership investments have become. According to a Kerrigan dealer survey, the value of our franchises has increased from 15th to 8th. Almost 90% of our retailers feel the value of their franchise has improved. And 82% believe their franchise value will further increase in the future. With many Hyundai franchises enjoying this increased value, we have moved ahead of several of our competitors.
Community Engagement: I want to recognize all that Hyundai and our retail partners do for our communities. This year we celebrated the 25th anniversary of Hyundai Hope On Wheels with a $25 million contribution for a total of $225 million over 25 years to help end pediatric cancer. Hyundai Hope On Wheels is among the top three childhood cancer charities in the United States, and we are leading the way to one day find a cure. Last year Hyundai and Genesis introduced the CSR initiatives of Hyundai Hope and Genesis Gives. Hyundai Hope supports health, safety and food security in the community. Genesis Gives expands on the brand’s highest standards of performance, supporting organizations that improve access to youth sports and STEM education in under-resourced communities.
The Future of Mobility: It’s a remarkable time to be at Hyundai. This amazing, dynamic industry is changing profoundly. Nowhere will this be more evident than at CES in a few weeks where we’ll be discussing everything from software defined vehicles and the benefits of autonomous driving to air taxis, AI and robots.
Hyundai (현대) means “modernity” in Korean. For us, modernity manifests in the Progress for Humanity vision of our Executive Chair Mr. Euisun Chung. He has a very compelling point of view on how people and goods will move more sustainably and efficiently in the future, and we are deploying the significant resources of Hyundai Motor Group to realize this vision.
Thank you to Automotive News for allowing me to share my thoughts throughout the year on the state of the brand.
Here’s to an outstanding 2023 and to the incredible opportunities that await us in the new year.