Hyundai and General Motors join forces to revolutionize future cars
The two automotive giants are looking to team up on various new products.
If some words can describe what has been occurring with the automotive world in 2024, they're able to be alliances and partnerships.
It looks as if every car company is joining together. Last month, a new partnership between Nissan, Mitsubishi, and Honda turned into forged amidst criticism from a former executive.
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Toyota is a case learn about in partnerships and alliances. In May, Toyota, Mazda, and Subaru teamed as much as keep away from wasting gas-powered combustion engines, and it renewed a partnership with Subaru for future development of electric vehicles.
Additionally, Toyota is teaming up with BMW on a 0-emissions fuel-powered vehicle it's seen as a substitute choice to EVs.
Nevertheless, a new partnership sees two huge automakers collaborate on future vehicles. Hyundai
The logo new Hyundai and GM alliance
In an announcement released on Sept. 12, General Motors (GM) and Hyundai (HYMTF) announced that the two automakers had signed a nonbinding "memorandum of figuring out" that can maybe establish their collaboration on new vehicles made the usage of more efficient supply chains and shared technologies to cut back costs and development time.
Though small print are scarce on how the collaboration will work, the duo said they'll work on future passenger cars and commercial vehicles powered by internal combustion engines, EVs, and hydrogen power.
In an announcement, GM CEO Mary Barra said the collaboration "has the it could be easy to to make vehicle development more efficient by driving greater scale and supporting disciplined capital allocation."
“GM and Hyundai have complementary strengths and talented teams. Our goal is to unlock the dimensions and creativity of both companies to deliver much more competitive vehicles to customers faster and more efficiently,” said Barra.
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Hyundai and GM noted that the partnership will also enable the two to share resources in essential materials such as raw materials for EV batteries, steel, and other areas needed to build cars.
“This partnership will enable Hyundai Motor and GM to judge opportunities to raise competitiveness in key markets and vehicle segments, as well to drive cost efficiencies and provide stronger customer value through our combined expertise and innovative technologies,” said Chung.
The duo noted that after signing their nonbinding agreement, Hyundai and GM will immediately start off exploring it could be easy to areas of cooperation so that you only may also be solidified in a future binding agreement. Bloomberg/Getty Images
A new path to an electrical future
The partnership between GM and Hyundai is now not entirely one-sided, as the duo already have a sophisticated level of expertise represented by their current offerings.
Though both GM and Hyundai have separately announced in prior statements that they're rethinking EV development in favor of hybrid technology, the duo already offers many electric vehicles in their current lineups.
The namesake brand's Ioniq series of vehicles highlights Hyundai's offerings. Its most modern iteration, the updated 2025 Hyundai Ioniq 5, features Tesla-rivaling electric range in an engaging package and can well be charged at Tesla Superchargers.
Likewise, General Motors also offers similar EVs but has a bonus over Hyundai. The batteries underpinning the automaker's Ultium platform are manufactured at some point of the U. S., deeming the cars eligible for the $7,five hundred IRA tax credit. Additionally, the firm is in talks with CATL on progressed battery technology.
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But as the EV slowdown becomes apparent and sales of hybrid-electric vehicles are prioritized, Hyundai can share technology that it sees as "a key bridge to full electrification:" extended-range electric vehicles (EREVs).
These novel vehicles incorporate electric motors, a battery percent, and a small combustion engine that serves as an influence generator. The combo lets in both refueling with gas and conventional EV charging, nonetheless it delivers greater than 560 miles (900 kilometers) of range, cutting back its dependency on the already-strained charging network and far flung from the perils of the infamous "charger hogs."
In a previous statement to Korea JoongAng On a day to day basis, a senior Hyundai executive said that automakers are currently experiencing "suffering" which may in all probability well be solved by providing a diverse range of electrified vehicles.
“Global automakers will enter a period of suffering for as a minimum two to a pair years starting at some point of the 2d 0.5 of this year,” the official told the South Korean publication. “Hybrids and EREVs are our weapons to fight this battle.”
Hyundai Motor (HYMTF) shares were down 1.forty six% from the outlet bell at $sixty one.fifty 9 at last check. General Motors (GM) is up 2.56% at $forty 5.80 at last check.
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