Hyundai Motor, a group of South Korea known for its cars, will invest $ 21 billion to expand manufacturing in the United States, as President Trump said it is evidence that customs tariff policies create job opportunities.
The company, which also produces steel, said that the investment during 2028 will include $ 6 billion for the Louisiana steel factory that would employ 1,300 people and other projects to provide Hyundai factories with spare parts and materials.
The company will also spend $ 9 billion to expand the production of Hyundai, KIA and Genesis in the United States. The remainder of the money will be used for projects that include expanding renewable energy supplies, building more electric vehicle chargers and conducting research on robots and independent driving.
“The money is flowing,” said Mr. Trump at the White House. “This investment is clear evidence that the customs tariff works strongly.”
Mr. Trump threatened to impose a new tariff on a wide range of foreign goods, including cars, and promised to invest more in the United States, may help Hyundai South Korea to avoid definitions or at least later duties are placed than other countries.
Hyundai already has significant investments in the United States. Last year, the company began producing electric cars in a factory near Savana, Georgia, which costs $ 7.6 billion for construction. On Wednesday, Hyundai plans to host an event to display the complex.
Along with SK ON, South Korea’s battery maker, Hyundai invests another $ 5 billion to produce electric vehicle batteries near Atlanta.
Mr. Chung, Mr. Trump gave credit to Georgia’s investments, saying that they started when President Seoul visited in 2019 during his first term. “We are really proud to stand with you and be proud to build the future together,” said Mr. Chung.
The Hyundai factories in Georgia also benefited from the support approved by the Democrats during the Biden administration, although this support was not mentioned in the White House on Monday.
Hyundai also manufactures vehicles in Montgomery, Alaa. Kia build cars in West Point, Georgia, southwest of Atlanta.
Hyundai factories provide some immunity of the definitions imposed by the Trump administration or threaten them on steel and cars. By reducing Hyundai’s costs of customs tariffs, American factories can also give the company a competitive advantage on competitors such as Ford Motor and General Motors, which imports many electric cars from Mexico. Mr. Trump threatened to impose a 25 percent tariff on products from Canada and Mexico next month.
“There is no tariff if you create your product in America,” said Mr. Trump, who repeated plans to impose a tariff on imported cars in the coming days.