**Entry into the U.S. Market Started with the Export of the Excel Produced in Ulsan in 1986**
[The FactㅣReporter Choi Eui-jong] Hyundai Motor is marking its 40th year in the U.S. market next year. The company is intensifying local production while aiming to dominate the SDV (Software-Defined Vehicle) competition, including autonomous driving.
Hyundai Motor announced on the 29th that it will reach the milestone of 40 years in the U.S. market next year. The company made its entry into the U.S. market, renowned for automobiles, by exporting the country’s first front-wheel-drive passenger car, the Excel, produced at its Ulsan factory in 1986.
Initially, Hyundai attracted attention from American consumers by selling 160,000 units in its first year and over 260,000 the following year with competitive pricing. However, the company faced a crisis of a tarnished brand image due to insufficient quality control and lack of service networks.
Honorary Chairman Chung Mong-koo focused on enhancing quality, safety, and performance, stressing “Quality Management” to satisfy customers globally, including in the U.S. In 1999, Hyundai addressed quality issues head-on with an after-sales strategy offering a “10-year/100,000-mile warranty.”
Hyundai has received top awards and accolades in the U.S., achieving improvements in quality and sales. Hyundai Group reported that in this year’s “Insurance Institute for Highway Safety (IIHS)” crash safety evaluation, 21 models received TSP+ and TSP grades, achieving the most “safest car” selections for two consecutive years.
The company also excelled in the “2025 Initial Quality Study (IQS)” by U.S. data analytics firm J.D. Power, achieving the best overall performance among 17 global automotive groups. This emphasizes their commitment to safety and quality, which is a crucial indicator used by consumers to gauge quality competitiveness.
[Image: Euisun Chung, chairman of Hyundai Motor Group, is signing a commemorative signature on an Ioniq 5 vehicle produced at HMGMA. / Hyundai Motor Group]
Hyundai Motor Group has also been selected as the “World Car of the Year (WCOTY)” for four consecutive years. The influential automotive magazine “Automotive News,” celebrating its 100th anniversary, recognized founder Chung Ju-yung, Honorary Chairman Chung Mong-koo, and Chairman Euisun Chung as influential figures in the industry’s development.
Chairman Euisun Chung stated, “The customer-centric management philosophy of my grandfather, founder Chung Ju-yung, is the cornerstone of Hyundai’s core values today, and my father, Honorary Chairman Chung Mong-koo’s commitment to quality, safety, and R&D is deeply ingrained in Hyundai Group’s management philosophy.”
Hyundai has sold approximately 896,000 units in the U.S. from January to November this year, poised to achieve the highest annual sales for three consecutive years. The company managed to minimize vehicle price increases despite the U.S. Trump administration’s car tariffs and flexibly adapted to market changes through increased local production and changes in the sales mix.
In March, Hyundai Motor Group held a completion ceremony for “Hyundai Motor Group Metaplant America (HMGMA)” in the U.S. state of Georgia to establish an annual production capacity of 1.2 million units. The company plans to invest $21 billion by 2028 in key sectors, including automobiles, parts and logistics, steel, and future industries.
Regarding the adverse impact of the U.S. electric vehicle subsidy ending last October, the company emphasized strengthening its hybrid lineup to offer consumers more choices and demonstrate crisis resilience. However, even with the resolution of negotiations between South Korea and the U.S., a 15% tariff remains.
Hyundai faces major challenges in intensifying global electric vehicle competition with companies like Tesla and those in China, subsidy terminations, and the SDV competition, including autonomous driving. As the industry leverages artificial intelligence (AI) to achieve manufacturing innovations, Hyundai aims for its own transformation.
A Hyundai Motor Group representative stated, “The U.S. is the largest export market and a critical bridgehead leading global automotive industry trends. Based on Chairman Euisun Chung’s leadership, we will overcome the challenges we face and achieve greater advancement.”
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