Hyundai Motor unveils ‘strategy 2025’

Hyundai Motor has announced its plan to transition into a ‘smart mobility solution provider’.

Its ‘strategy 2025’ roadmap will foster Smart Mobility Device and Smart Mobility Service as two core business pillars.

Hyundai aims to be the leaders of electrification, by selling 670,000 EVs annually and become one of the world’s top three manufacturers of battery and fuel cell EVs by 2025.

The company is also targeting an operating margin of 8% in its automotive business and aiming for a 5% share of the global vehicle market.

Hyundai’s president and chief executive Wonhee Lee announced its strategic direction during the “chief executive officer investor day” forum in Seoul on December 3.

“The key to our future strategy is to focus on customers and to present the most desirable products and services. We want to offer smart mobility experiences that meet shifting needs of our customers by leveraging advanced technology,” Lee says.

“Transforming into a Smart Mobility Solution Provider with comprehensive mobility solutions that combine devices and services will be the centre piece of Hyundai’s future strategy”

Under Smart Mobility Device, Hyundai has set out strategies to maintain its competitiveness in the core manufacturing business, by lifting profitability in ICE vehicles and leading electrification.

To do this, Hyundai will address vehicle electrification by first targeting younger demographics with affordable battery EVs. Its 670,000 annual EV goal will comprise of 560,000 battery EVs and 110,000 fuel-cell EV s.

By 2030, Hyundai hopes to electrify most new models in key markets such as the U.S., Kora, China and Europe, and emerging markets like India and Brazil to follow suit by 2035.

The Genesis brand will launch its electric models in 2021 and expanding its electric line-up in 2024. The N brand also plans to launch electric SUVs and EVs.

Under Smart Mobility Service, the company plans to leverage its existing customer base to provide services linked to vehicles, including maintenance, repair, financing, insurance and charging. Customers will have a more comprehensive range of services.

Hyundai’s goal to achieve 5% of the market is an 1% increase from roughly 4% in 2018.

“Hyundai will always prioritize its customers and strive to connect people’s lives with quality time,” Lee says. “We will do our utmost to equip ourselves for the future, to lead the future mobility industry, and maximize shareholder value.”