Hyundai Motor announced on October 29 that it has signed an MOU with the Tsinghua Industrial Development Institute in China on strategic hydrogen energy collaboration and agreed to establish a US$100 million hydrogen energy fund. Hyundai Motor and World Capital, an investment organization under the Tsinghua Industrial Development Institute, will jointly establish and manage the fund. Leading venture capital companies in Asia, Europe and North America will participate in the fund as investors.
They will invest in hydrogen industry infrastructure and startups that are developing core hydrogen technologies in Korea and China. In particular, they have decided to systematically support startups, including incubation, in accordance with their investment strategy, going beyond merely investing in equities.
This partnership is expected to lay the groundwork for establishing Hyundai's position as an industry leader in the Chinese hydrogen electric vehicle market, which is actively promoted by the Chinese government.
In February, the Chinese government announced the promotion of hydrogen electric cars in a bid to create a new growth engine. It launched a hydrogen energy and fuel cell industry innovation alliance and set a goal to spread one million hydrogen electric cars and open 1,000 hydrogen charging stations by 2030. According to the Chinese government's plan, the Chinese hydrogen car market is expected to grow from a mere 5,000 units in 2020 into the third largest hydrogen electric car market in the world after Germany and the U.S. by 2030.
Hyundai Motor has also made a lot of efforts to rev up its hydrogen electric car business in the Chinese market. In January, the automaker participated in the “Annual Forum” event hosted by the “100 People for the Development of the Chinese Electric Vehicle Industry” in Beijing. It made a presentation on its experience in mass production of hydrogen electric vehicles and showcased the Nexo hydrogen electric vehicle based on world-class hydrogen electric car technology. A former Chinese minister of science and technology expressed satisfaction about the quality of the model.
In addition, Hyundai Motor participated in the CES Asia 2018 in Shanghai in June and received favorable responses by unveiling the Nexo Autonomous Driving Car based on hydrogen electric car technology and Hydrogen Electric House. During the event, Hyundai Motor was the only automaker to receive the Innovation Award in the automobile technology category from the organizing committee.