The blueprint for collaboration between General Motors (GM) and Hyundai Motor has emerged. The two sides will begin their first joint project in a way that complements each other's pain points.
Hyundai Motor and General Motors (GM) announced on the 7th that they have set an important milestone in their strategic cooperation by unveiling plans for the first five vehicles co-developed by the two companies.
The two companies plan to jointly develop five next-generation vehicles, including mid-size pickups, small pickups, compact cars, small SUVs for the Latin American market, and electric commercial vans for the North American market. During the joint development process, GM will lead the development of the mid-size truck platform, while Hyundai Motor will take the lead in developing the compact model and electric commercial van platform. This will allow Hyundai Motor to naturally absorb mid-size truck development know-how and GM to gain expertise in compact cars and electric vans.
The two companies expect to be able to produce and sell more than 800,000 units annually once the mass production of the jointly developed vehicles begins. They plan to share a common vehicle platform while developing exteriors and interiors that fit each brand's identity.
Hyundai Motor and GM are currently collaborating on design and engineering for new cars aimed at the Latin American market, with a target launch year of 2028, and plan to produce electric commercial vans locally in the U.S. as early as 2028.
Jose Muñoz, the CEO of Hyundai Motor, noted, "Through strategic cooperation with GM, I believe we can continuously provide better value and choices to customers across various segments and markets," adding, "Based on cooperation between the two companies in the North American and Latin American markets, we will be able to provide customers with beautiful designs, high quality, safety-oriented vehicles, and satisfactory technologies more efficiently."
Shilpan Amin, senior vice president and head of GM's global purchasing and supply chain, said, "The vehicles announced today target the segments that account for the largest share in the Latin American market and the commercial vehicle sector in the North American market." He added, "Through collaboration, GM and Hyundai Motor will be able to provide customers with a wider variety of choices at a faster pace and lower expense," emphasizing that "these first jointly developed vehicles illustrate how the complementary strengths and scale of both companies can be utilized."
The two companies plan to advance joint sourcing initiatives regarding materials and transportation logistics in North and South America, and are also considering cooperation in areas such as raw materials, parts, and composite systems.
Additionally, the two companies agreed to explore possibilities for cooperation in the field of carbon-reducing steel as part of their efforts to realize Sustainable Manufacturing Practices.
The two companies will continue to conduct detailed reviews related to the collaboration on additional joint vehicle development programs for the global market and powertrain systems that include internal combustion engines, hybrids, battery electric vehicles, and hydrogen fuel cell technology, based on the MOU signed last September.
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