The Hyundai Motor Group has initiated the construction of manufacturing facilities for hydrogen fuel cell systems.
A groundbreaking ceremony was held on Dec. 11 at the Hyundai Mobis plant located in Chungju, North Chungcheong Province with the attendance of more than 120 persons, including Minister of Trade, Industry and Energy Sung Yun-mo and Hyundai Motor Group vice chairman Chung Eui-sun.
The automotive group announced during the ceremony that it would produce at least 500,000 fuel cell electric vehicles (FCEVs) a year in South Korea by 2030.
The construction of the facilities is scheduled to end late next year. Then, Hyundai’s annual hydrogen fuel cell system production capacity will increase from 3,000 to 40,000 units in 2022. A hydrogen fuel cell system, which is comparable to an engine, generates electricity by combining hydrogen with oxygen in air.
According to Hyundai’s FCEV Vision 2030, the group and its partner companies will produce 500,000 or more commercial and non-commercial FCEVs a year in South Korea from 2030. To this end, the group and the 124 partner firms will invest 7.6 trillion won until 2030 in R&D and facility expansion. This process is expected to create 51,000 jobs.
In 2019 and 2020, the group and its partner firms will invest 300 billion won to increase their annual FCEV production capacity from 3,000 to 11,000. They are expected to create 1,300 jobs during the course. In 2022, the investment will be increased to 1.5 trillion won for an annual capacity of 40,000 vehicles. The target figures for 2025 are 2.9 trillion won and 130,000 vehicles.
The Hyundai Motor Group also announced that it would be capable of externally supplying 200,000 fuel cell systems a year from 2030 and potential clients include automakers wishing to enter the hydrogen car market, shipbuilders, train manufacturers, forklift manufacturers and power companies. Hyundai is going to respond to the demands by improving and diversifying its fuel cell system for use in the Nexo FCEV.