SEOUL: Hyundai Motor union said on Tuesday that the company has tentatively agreed to build a dedicated electric vehicle (EV) plant in South Korea by 2025 amid a global electrification push.
A union representative said that Hyundai and its union had achieved an agreement about the domestic electric vehicle factory at the automaker's primary Ulsan plant, located 414 kilometres southeast of Seoul.
Before the one-week summer break that starts on July 30, the tentative deal is up for a vote by unionised workers as early as this month, he added.
According to the company spokesperson, negotiations between Hyundai and its union are taking place regarding this year's salary and the domestic EV facility. The Hyundai Motor Group announced plans in May to invest 63 trillion won (USD 49.8 billion) in its domestic operations by 2025. This includes the proposed electric vehicle facility.
In May, Hyundai Motor Group also revealed plans to invest USD 5.54 billion in Georgia, the United States, to construct a factory specifically for electric vehicle and automobile battery manufacture. The facility is expected to begin operations in the first half of 2025.
Hyundai operates seven domestic facilities in Korea and eleven abroad, including four in China, one in the Czech Republic, one in Turkey, one in Russia, one in India, one in Brazil, and one in Indonesia. They can accommodate 5.65 million vehicles altogether.
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