By Ayomide Otitoju
South Korea’s Hyundai Motor Group on Monday unveiled plans for a record ₩118 trillion ($85.8 billion) investment over the next five years, following Seoul’s newly concluded trade deal with Washington.
In a statement, the auto giant said a major share of the investment will target emerging technologies, including advanced AI-driven businesses such as robotics, to strengthen South Korea’s position in the global innovation landscape.
“A significant portion of the investment will focus on new businesses based on advanced AI technologies, such as robotics, contributing to the development of Korea’s AI and robotics innovation ecosystem,” the group said, adding that the roadmap reflects its agility in responding to a rapidly evolving global market.
According to the company, about 40 percent of the total spending will go toward AI, software-defined vehicles (SDVs), electrification, robotics and hydrogen technologies. Hyundai said the investment aims to raise exports of South Korea–manufactured vehicles by 13 percent, reaching an estimated 2.47 million units by 2030.
The announcement mirrors a similar long-term commitment by Samsung Group, whose flagship Samsung Electronics last week pledged a $310 billion investment, largely focused on artificial intelligence. Samsung remains one of the world’s leading memory-chip producers and a key supplier for the global AI industry.
Hyundai Motor Group — which includes Kia — sold more than 7.2 million vehicles globally last year.
The investment pledge comes after South Korea secured a new trade agreement with the United States that lowers tariffs on South Korean exports, including Hyundai vehicles, to 15 percent from 25 percent. However, the reduced rate is still considerably higher than the 2.5 percent previously applied under an existing free trade pact.
