Hyundai to boost U.S. output at new Georgia plant, CEO tells CNBC

• The capacity increase would make the Georgia facility the largest U.S. vehicle assembly plant, surpassing operations from competitors like other major automakers
• Hyundai aims to produce at least 80% of vehicles sold in the U.S. domestically by 2028, up from roughly 40% in 2024, driven partly by 15% tariffs on South Korean imports
• The $7.6 billion Georgia Metaplant currently employs over 8,500 workers and produces electric vehicles including the Ioniq 5 and Ioniq 9, with plans to expand to additional models

Summary: Hyundai Expands U.S. Production Capacity in Georgia

Key Development:

Hyundai Motor CEO José Muñoz announced plans to significantly expand the production capacity at the company's Georgia Metaplant from 500,000 units to between 700,000-800,000 units by 2028. This previously undisclosed increase would likely make it the largest vehicle assembly plant by capacity in the United States.

Investment Details:

• The expansion is part of Hyundai's broader $26 billion U.S. investment plan through 2028
• The Georgia facility represents a $7.6 billion investment
• Current staffing plan includes 8,500+ employees at the Georgia site plus 6,900 at offsite suppliers

Strategic Rationale:

Hyundai aims to produce at least 80% of U.S.-sold vehicles domestically by 2028, up from approximately 40% in 2024. CEO Muñoz indicated that recent tariffs, including 15% on South Korean imports, have accelerated the company's localization strategy, though planning preceded tariff announcements.

Current Production:

The Metaplant currently manufactures the all-electric Hyundai Ioniq 5 and Ioniq 9, plus the Kia Sportage hybrid. The facility is designated to produce electric vehicles for Hyundai, Genesis, and Kia brands.

Additional Plans:

Hyundai is evaluating further investments for body-on-frame vehicle capacity (trucks and SUVs) outside the Georgia facility, though specific details were not disclosed.

Market Performance:

Hyundai has demonstrated strong U.S. growth, with sales for the parent company (including Kia and Genesis) up nearly 50% this decade. The U.S. represents Hyundai's most important market outside Korea.