Joint Venture Beijing Hyundai Invests $550 Million Each
“More Products Meeting Chinese Consumer Demands to Be Released…Expanding Export Volume”,
Hyundai Motor participated in the ‘2024 Beijing International Motor Show’ held at the China International Exhibition Center in Shunyi in April, unveiling the ‘Ioniq 5 N’ and ‘The All-New Santa Fe’ and introducing ‘The New Tucson’ to the Chinese market for the first time. The photo shows ‘The New Tucson’ exhibited at the Hyundai booth (local name: 全新 Tucson L). (Provided by Hyundai Motor) 2024.4.25/News1,
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, “(Seoul=News1) Reporter Kim Seong-sik = Hyundai Motor (005380) and China’s Beijing Automotive Group (BAIC) have decided to invest a total of $1.096 billion (1.56 trillion won) in their joint venture ‘Beijing Hyundai.’ This additional investment aims to accelerate the transition to electrification in the struggling Chinese market and increase export volumes.”,
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, “According to Reuters and Bloomberg, Hyundai Motor and BAIC Investment disclosed in the Hong Kong Stock Exchange on the 11th (local time) that they would each invest $548 million evenly in Beijing Hyundai.”,
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, “BAIC stated that this investment would maintain Beijing Hyundai’s capital stability and in the long term drive change and development through new technology and product investment. They also announced plans for Beijing Hyundai to ‘release more products tailored to Chinese consumer demands and expand export volumes’ in the future.”,
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, “Due to the aftermath of the THAAD deployment in 2016, Hyundai’s market share in China, which peaked at 6.1% at that time, fell to a record low of 1.4% last year. As a result, Beijing Hyundai sold its Beijing Plant 1 in 2021, followed by the Chongqing Plant this January, maintaining only 2 out of their 4 original factories.”,
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, “With the penetration rate of the Chinese electric vehicle market exceeding half this year, the situation worsened for Beijing Hyundai, which only sells internal combustion engines. According to local automotive media Gasgoo, Beijing Hyundai’s sales from January to October this year fell 41% compared to the same period last year, totaling 137,300 units.”,
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, “In September, reports emerged mainly in Chinese economic newspapers that Beijing Hyundai planned to cut 30% of its workforce twice by February next year. However, Beijing Hyundai refuted these claims as unfounded and promised the development of eco-friendly vehicles and strengthened exports. The current investment by the two companies is seen as a commitment to putting this promise into action.”