Hyundai Launches Electric SUV Production at $7.6 Billion Georgia Plant
Hyundai Motor Group has officially begun producing electric SUVs at its new $7.6 billion plant in Georgia, marking a significant milestone in the company’s expansion into the U.S. electric vehicle market. The facility, located 50 miles west of Savannah, has started initial production of customer vehicles ahead of schedule, with a grand opening celebration planned for early 2025.
The ambitious project, a joint venture between Hyundai and LG Energy Solution, aims to employ 8,500 workers at full capacity. The plant is expected to produce up to 300,000 electric vehicles annually once fully operational. Currently, over 1,000 workers are staffing the vehicle production areas, while battery-making facilities are still under construction.
The first vehicles rolling off the production line are 2025 models of the Ioniq 5 electric SUVs. Hyundai plans to make these American-made Ioniq 5 EVs available at U.S. dealerships by the end of the year. This move comes as the Ioniq 5 has already established itself as the second-best-selling non-Tesla EV in the U.S. in early 2024.
This development represents the largest economic development project in Georgia’s history, with the state providing $2.1 billion in tax breaks and incentives to secure the investment. The accelerated production timeline was influenced by federal EV incentives, particularly those outlined in the Inflation Reduction Act, which offers tax credits for North American-made electric vehicles.
Hyundai’s decision to expedite U.S. production aligns with the changing landscape of EV incentives and reflects the company’s strategy to strengthen its position in the competitive American electric vehicle market. As the plant ramps up production, it is poised to play a crucial role in Hyundai’s global EV strategy and contribute significantly to the growing electric vehicle industry in the United States.
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