Hyundai to cut 50% of internal combustion engine models to invest in electric vehicles

Hyundai Motor will cut about 50% of its traditional internal combustion engine models to invest more resources in the field of electric vehicles. According to people familiar with the matter, this plan has been approved by the company's top management in March this year.

Hyundai Motor previously planned to increase annual sales of electric vehicles to 1 million by 2025, accounting for 10% of the global electric vehicle market, and finally achieve a complete electrification transformation by 2040. In the Chinese market, Hyundai Motor plans to reduce the number of traditional internal combustion engine models from 21 to 14 by 2025, and launch new electric models every year starting in 2022.

Recently, some media reported that Hyundai Motor will significantly reduce the number of traditional internal combustion engine models in its product line, thereby investing more resources in the field of electric vehicles.

According to people familiar with the matter, Hyundai Motor will cut about 50% of its traditional internal combustion engine models, a plan that was approved by the company's top management in March this year. The person said, "This is an important business move that will allow R&D resources to focus more on electric vehicles, batteries, fuel cells, etc."

The person did not disclose the timetable for the implementation of the plan. However, on Thursday (May 27th) local time, Hyundai Motor announced that it is accelerating the layout of hydrogen fuel cell vehicles and electric vehicles, and plans to gradually expand the supply of electric vehicles and batteries in major markets such as China, the United States and Europe, with the ultimate goal of achieving a complete electrification transformation by 2040.

Currently, Hyundai Motor Group includes three brands, Hyundai, Kia and Genesis. The group plans to increase the annual sales of electric vehicles to 1 million by 2025, accounting for 10% of the global electric vehicle market. In the Chinese market, Hyundai Motor plans to reduce the number of traditional internal combustion engine models from 21 to 14 by 2025, and will launch new electric models every year starting from 2022.

People familiar with the matter said that in order to achieve its electrification transformation goal, Hyundai Motor has stopped developing new power systems for traditional internal combustion engine models.